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Statement of Shareholders' Equity On January 1, 2019, Powder Company provided the following shareholders' equity section of its balance sheet: Contributed Capital: Preferred stock, $100 par $ 92,800 Common stock, $5 par 37,500 Additional paid-in capital on preferred stock 21,500 Additional paid-in capital on common stock 58,700 Total contributed capital $210,500 Retained earnings 185,000 Total Shareholders' Equity $395,500 During 2019, the following transactions and events occurred and were properly recorded: 1. Powder issued 1,800 shares of common stock at $13 per share. 2. Powder issued 330 shares of preferred stock at $120 per share. 3. Powder earned net income of $38,950. 4. Powder paid a $8 per share dividend on the preferred stock and a $1 per share dividend on the common stock outstanding at the end of 2019. Required: Prepare Powder's statement of shareholders' equity (include retained earnings) for 2019. POWDER COMPANY Statement of Shareholders' Equity For Year Ended December 31, 2019 Additional Additional Preferred Stock Common Paid-in Capital on Preferred Stock Paid-in Stock Retained $5 par Capital on Common Stock $100 par Earnings Total Balances, 1/1/19 92,800 37,500 18,000 x 58,700V 185,000 v 21,500 395,500 Common stock issued 5,400 X 67,600 x Preferred stock issued 33,000 V 10,200 x 67,600 X Net income Cash dividend paid on preferred 38,950V 38,950 V 8,876 X 8,876 X Cash dividend paid on common 9,280 X 9,280 x Balances, 12/31/19 125,800 55,400 X 31,700 X 64,100 X 206,494 X 484,494 X

Statement of Shareholders' Equity On January 1, 2019, Powder Company provided the following shareholders' equity section of its balance sheet: Contributed Capital: Preferred stock, $100 par $ 92,800 Common stock, $5 par 37,500 Additional paid-in capital on preferred stock 21,500 Additional paid-in capital on common stock 58,700 Total contributed capital $210,500 Retained earnings 185,000 Total Shareholders' Equity $395,500 During 2019, the following transactions and events occurred and were properly recorded: 1. Powder issued 1,800 shares of common stock at $13 per share. 2. Powder issued 330 shares of preferred stock at $120 per share. 3. Powder earned net income of $38,950. 4. Powder paid a $8 per share dividend on the preferred stock and a $1 per share dividend on the common stock outstanding at the end of 2019. Required: Prepare Powder's statement of shareholders' equity (include retained earnings) for 2019. POWDER COMPANY Statement of Shareholders' Equity For Year Ended December 31, 2019 Additional Additional Preferred Stock Common Paid-in Capital on Preferred Stock Paid-in Stock Retained $5 par Capital on Common Stock $100 par Earnings Total Balances, 1/1/19 92,800 37,500 18,000 x 58,700V 185,000 v 21,500 395,500 Common stock issued 5,400 X 67,600 x Preferred stock issued 33,000 V 10,200 x 67,600 X Net income Cash dividend paid on preferred 38,950V 38,950 V 8,876 X 8,876 X Cash dividend paid on common 9,280 X 9,280 x Balances, 12/31/19 125,800 55,400 X 31,700 X 64,100 X 206,494 X 484,494 X

Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter4: The Balance Sheet And The Statement Of Shareholders' Equity
Section: Chapter Questions
Problem 12E
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Statement of Shareholders' Equity On January 1, 2019, Powder Company provided the following shareholders' equity section of its balance sheet: Contributed Capital: Preferred stock, $100 par $ 92,800 Common stock, $5 par 37,500 Additional paid-in capital on preferred stock 21,500 Additional paid-in capital on common stock 58,700 Total contributed capital $210,500 Retained earnings 185,000 Total Shareholders' Equity $395,500 During 2019, the following transactions and events occurred and were properly recorded: 1. Powder issued 1,800 shares of common stock at $13 per share. 2. Powder issued 330 shares of preferred stock at $120 per share. 3. Powder earned net income of $38,950. 4. Powder paid a $8 per share dividend on the preferred stock and a $1 per share dividend on the common stock outstanding at the end of 2019. Required: Prepare Powder's statement of shareholders' equity (include retained earnings) for 2019. POWDER COMPANY Statement of Shareholders' Equity For Year Ended December 31, 2019 Additional Additional Preferred Common Paid-in Capital on Preferred Paid-in Stock Stock Retained Stock Capital on $100 par $5 par Earnings Total Common Stock Balances, 1/1/19 92,800 V $ 37,500 21,500 V 58,700 V 185,000 V 395,500 Common stock issued Preferred stock issued 18,000 x 5,400 X 67,600 X 10,200 x 67,600 X 33,000 Net income 38,950 38,950 Cash dividend paid on preferred 8,876 X 8,876 X Cash dividend paid on common 9,280 9,280 X Balances, 12/31/19 125,800 55,400 x 31,700 X 64,100 x $ 206,494 x 484,494 X
Transcribed Image Text:Statement of Shareholders' Equity On January 1, 2019, Powder Company provided the following shareholders' equity section of its balance sheet: Contributed Capital: Preferred stock, $100 par $ 92,800 Common stock, $5 par 37,500 Additional paid-in capital on preferred stock 21,500 Additional paid-in capital on common stock 58,700 Total contributed capital $210,500 Retained earnings 185,000 Total Shareholders' Equity $395,500 During 2019, the following transactions and events occurred and were properly recorded: 1. Powder issued 1,800 shares of common stock at $13 per share. 2. Powder issued 330 shares of preferred stock at $120 per share. 3. Powder earned net income of $38,950. 4. Powder paid a $8 per share dividend on the preferred stock and a $1 per share dividend on the common stock outstanding at the end of 2019. Required: Prepare Powder's statement of shareholders' equity (include retained earnings) for 2019. POWDER COMPANY Statement of Shareholders' Equity For Year Ended December 31, 2019 Additional Additional Preferred Common Paid-in Capital on Preferred Paid-in Stock Stock Retained Stock Capital on $100 par $5 par Earnings Total Common Stock Balances, 1/1/19 92,800 V $ 37,500 21,500 V 58,700 V 185,000 V 395,500 Common stock issued Preferred stock issued 18,000 x 5,400 X 67,600 X 10,200 x 67,600 X 33,000 Net income 38,950 38,950 Cash dividend paid on preferred 8,876 X 8,876 X Cash dividend paid on common 9,280 9,280 X Balances, 12/31/19 125,800 55,400 x 31,700 X 64,100 x $ 206,494 x 484,494 X
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