PART 2!!!!!! b. Prepare a statement of stockholders’ equity for the year ended December 31, 20Y8. Decreases in equity and purchase should be entered as negative amounts by using a minus sign. If your answer is zero, enter “0”. Equinox Products Inc. Statement of Stockholders' Equity For the Year Ended December 31, 20Y8   Preferred Stock Paid-In Capital in Excess of Par— Preferred Stock Common Stock Paid-In Capital in Excess of Par— Common Stock Paid-In Capital from Sale of Treasury Stock Retained Earnings Treasury Stock Total Balances, January 1  $ $ $ $ $ $ $ $ Issued Common Stock                  Issued Preferred Stock                  Net income                  Cash dividends                  Sale of treasury stock                  Purchase of treasury stock                  Balances, December 31  $ $ $ $ $ $ $ $

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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I NEED HELP WITH PART 2!!!!!!!!!!!!!!!!!

PART 1

a.  Issued 15,000 shares of $20 par common stock at $30, receiving cash.

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b.  Issued 4,000 shares of $80 par preferred 5% stock at $100, receiving cash.

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c.  Issued $500,000 of 10-year, 5% bonds at 104, with interest payable semiannually.

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d.  Declared a quarterly dividend of $0.50 per share on common stock and $1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. Journalize the common stock and the preferred stock entries separately.

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e.  Paid the cash dividends declared in (d).

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f.  Purchased 8,000 shares of treasury common stock at $33 per share.

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g.  Declared a $1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued.

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h.  Paid the cash dividends to the preferred stockholders.

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i.  Sold, at $38 per share, 2,600 shares of treasury common stock purchased in (f).

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j.  Recorded the payment of semiannual interest on the bonds issued in (c) and the amortization of the premium for 6 months. The amortization is determined using the straight-line method.

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You must complete part 1 before part 2.

After all of the transactions for the year ended Dec 31, 20Y8, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data below were taken from the records of Equinox Products Inc. Unless otherwise stated, assume a Dec 31 balance after adjusting entries.

Income statement data:    
Advertising expense   $150,000
Cost of goods sold   3,700,000
Delivery expense   30,000
Depreciation expense—office buildings and equipment   30,000
Depreciation expense—store buildings and equipment   100,000
Income tax expense   140,500
Interest expense   21,000
Interest revenue   30,000
Misc administrative expense   7,500
Misc selling expense   14,000
Office rent expense   50,000
Office salaries expense   170,000
Office supplies expense   10,000
Sales   5,313,000
Sales commissions   185,000
Sales salaries expense   385,000
Store supplies expense   21,000
     
Retained earnings and balance sheet data:    
Accounts payable   $194,300
Accounts receivable   545,000
Accumulated depreciation—office buildings and equipment   1,580,000
Accumulated depreciation—store buildings and equipment   4,126,000
Allowance for doubtful accounts   8,450
Bonds payable, 5%, due in 10 years   500,000
Cash   282,850
Common stock, $20 par (400,000 shares authorized;
  85,000 shares issued, 94,600 outstanding), Jan 1, 20Y8
  1,700,000
Dividends:    
  Cash dividends for common stock   155,120
  Cash dividends for preferred stock   100,000
Goodwill   700,000
Income tax payable   44,000
Interest receivable   1,200
Inventory (Dec 31, 20Y8), at lower of cost (FIFO) or market   778,000
Office buildings and equipment   4,320,000
Paid-in capital from sale of treasury stock, Jan 1, 20Y8   0
Paid-in capital in excess of par—common stock, Jan 1, 20Y8   736,800
Paid-in capital in excess of par—preferred stock, Jan 1, 20Y8   70,000
Preferred 5% stock, $80 par (30,000 shares authorized;
  16,000 shares issued), Jan 1, 20Y8
  1,280,000
Premium on bonds payable   19,000
Prepaid expenses   27,400
Retained earnings, Jan 1, 20Y8   8,197,220
Store buildings and equipment   12,560,000
Treasury stock, Jan 1, 20Y8   0

PART 2!!!!!!

b. Prepare a statement of stockholders’ equity for the year ended December 31, 20Y8. Decreases in equity and purchase should be entered as negative amounts by using a minus sign. If your answer is zero, enter “0”.

Equinox Products Inc.
Statement of Stockholders' Equity
For the Year Ended December 31, 20Y8
  Preferred Stock Paid-In Capital
in Excess
of Par—
Preferred
Stock
Common Stock Paid-In Capital
in Excess
of Par—
Common
Stock
Paid-In Capital
from Sale of
Treasury Stock
Retained
Earnings
Treasury
Stock
Total
Balances, January 1  $ $ $ $ $ $ $ $
Issued Common Stock                 
Issued Preferred Stock                 
Net income                 
Cash dividends                 
Sale of treasury stock                 
Purchase of treasury stock                 
Balances, December 31  $ $ $ $ $ $ $ $
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