Specialty Auto Racing Inc. retails racing products for BMWs, Porsches, and Ferraris. The following accounts and their balances appear in the ledger of Specialty Auto Racing Inc. on July 31, the end of the current year: Fifty thousand shares of preferred and 300,000 shares of common stock are authorized. There are 20,000 shares of common stock held as treasury stock. Prepare the Stockholders’ Equity section of the balance sheet as of July 31, the end of the current year using Method 1 of Exhibit 8. Refer to the lists of Accounts and Amount Descriptions provided for the exact wording of the answer choices for text entries. 1 Common Stock, $34 par $9,418,000.00 2 Paid-In Capital from Sale of Treasury Stock-Common 359,000.00 3 Paid-In Capital in Excess of Par-Common Stock 1,939,000.00 4 Paid-In Capital in Excess of Par-Preferred Stock 284,700.00 5 Preferred 1% Stock, $150 par 7,117,500.00 6 Retained Earnings 76,839,200.00 7 Treasury Stock-Common 860,000.00
Specialty Auto Racing Inc. retails racing products for BMWs, Porsches, and Ferraris. The following accounts and their balances appear in the ledger of Specialty Auto Racing Inc. on July 31, the end of the current year: Fifty thousand shares of preferred and 300,000 shares of common stock are authorized. There are 20,000 shares of common stock held as treasury stock. Prepare the Stockholders’ Equity section of the balance sheet as of July 31, the end of the current year using Method 1 of Exhibit 8. Refer to the lists of Accounts and Amount Descriptions provided for the exact wording of the answer choices for text entries. 1 Common Stock, $34 par $9,418,000.00 2 Paid-In Capital from Sale of Treasury Stock-Common 359,000.00 3 Paid-In Capital in Excess of Par-Common Stock 1,939,000.00 4 Paid-In Capital in Excess of Par-Preferred Stock 284,700.00 5 Preferred 1% Stock, $150 par 7,117,500.00 6 Retained Earnings 76,839,200.00 7 Treasury Stock-Common 860,000.00
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Specialty Auto Racing Inc. retails racing products for BMWs, Porsches, and Ferraris. The following accounts and their balances appear in the ledger of Specialty Auto Racing Inc. on July 31, the end of the current year:
Fifty thousand shares of preferred and 300,000 shares of common stock are authorized. There are 20,000 shares of common stock held as treasury stock .
Prepare the Stockholders’ Equity section of the balance sheet as of July 31, the end of the current year using Method 1 of Exhibit 8. Refer to the lists of Accounts and Amount Descriptions provided for the exact wording of the answer choices for text entries.
|
1
|
Common Stock, $34 par
|
$9,418,000.00
|
|
2
|
Paid-In Capital from Sale of Treasury Stock-Common
|
359,000.00
|
|
3
|
Paid-In Capital in Excess of Par-Common Stock
|
1,939,000.00
|
|
4
|
Paid-In Capital in Excess of Par-
|
284,700.00
|
|
5
|
Preferred 1% Stock, $150 par
|
7,117,500.00
|
|
6
|
|
76,839,200.00
|
|
7
|
Treasury Stock-Common
|
860,000.00
|
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