North Wind Aviation received its charter during January authorizing the following capital stock: Preferred stock: 8 percent, par $10, authorized 20,000 shares. Common stock: par $1, authorized 50,000 shares. The following transactions occurred during the first year of operations in the order given: Issued a total of 41,000 shares of the common stock for $16 per share. Issued 11,000 shares of the preferred stock at $17 per share. Issued 3,100 shares of the common stock at $21 per share and 1,100 shares of the preferred stock at $17. Net income for the first year was $49,000, but no dividends were declared. Required: Prepare the stockholders’ equity section of the balance sheet at December 31. please avoid solutions in image format thank you
North Wind Aviation received its charter during January authorizing the following capital stock: Preferred stock: 8 percent, par $10, authorized 20,000 shares. Common stock: par $1, authorized 50,000 shares. The following transactions occurred during the first year of operations in the order given: Issued a total of 41,000 shares of the common stock for $16 per share. Issued 11,000 shares of the preferred stock at $17 per share. Issued 3,100 shares of the common stock at $21 per share and 1,100 shares of the preferred stock at $17. Net income for the first year was $49,000, but no dividends were declared. Required: Prepare the stockholders’ equity section of the balance sheet at December 31. please avoid solutions in image format thank you
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
North Wind Aviation received its charter during January authorizing the following capital stock:
Common stock: par $1, authorized 50,000 shares.
The following transactions occurred during the first year of operations in the order given:
- Issued a total of 41,000 shares of the common stock for $16 per share.
- Issued 11,000 shares of the preferred stock at $17 per share.
- Issued 3,100 shares of the common stock at $21 per share and 1,100 shares of the preferred stock at $17.
- Net income for the first year was $49,000, but no dividends were declared.
Required:
Prepare the
please avoid solutions in image format thank you
Transcribed Image Text:Contributed Capital:
NORTH WIND AVIATION
Balance Sheet (Partial)
At December 31
Stockholders' Equity
Total Contributed Capital
Total Stockholders' Equity
$
0
0
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