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Required: a. Prepare the stockholders' equity section of the balance sheet at December 31, 2024.

Required: a. Prepare the stockholders' equity section of the balance sheet at December 31, 2024.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Maria Martinez organized Manhattan Transport Company in January 2021. The corporation immediately issued at $8 per share one- half of its 200,000 authorized shares of $2 par value common stock. On January 2, 2022, the corporation sold at par value the entire 5,000 authorized shares of 8 percent, $100 par value cumulative preferred stock. On January 2, 2023, the company again needed capital and issued 5,000 shares of an authorized 10,000 shares of no-par cumulative preferred stock for a total of $512,000. The no- par shares have a stated dividend of $9 per share. The company declared no dividends in 2021 and 2022. At the end of 2022, its retained earnings were $170,000. During 2023 and 2024 combined, the company earned a total of $890,000. Dividends of 50 cents per share in 2023 and $1.60 per share in 2024 were paid on the common stock. Required: a. Prepare the stockholders' equity section of the balance sheet at December 31, 2024. Stockholders' equity Total paid-in capital Retained earnings MANHATTAN TRANSPORT COMPANY Partial Balance Sheet December 31, 2024 SA 0
Transcribed Image Text:Maria Martinez organized Manhattan Transport Company in January 2021. The corporation immediately issued at $8 per share one- half of its 200,000 authorized shares of $2 par value common stock. On January 2, 2022, the corporation sold at par value the entire 5,000 authorized shares of 8 percent, $100 par value cumulative preferred stock. On January 2, 2023, the company again needed capital and issued 5,000 shares of an authorized 10,000 shares of no-par cumulative preferred stock for a total of $512,000. The no- par shares have a stated dividend of $9 per share. The company declared no dividends in 2021 and 2022. At the end of 2022, its retained earnings were $170,000. During 2023 and 2024 combined, the company earned a total of $890,000. Dividends of 50 cents per share in 2023 and $1.60 per share in 2024 were paid on the common stock. Required: a. Prepare the stockholders' equity section of the balance sheet at December 31, 2024. Stockholders' equity Total paid-in capital Retained earnings MANHATTAN TRANSPORT COMPANY Partial Balance Sheet December 31, 2024 SA 0
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