The Stockholder's Equity accounts of a corporation on January 1, 2022, were as follows: Preferred Stock (5%, $10 par, cumulative, 5,000 shares authorized) $49,000 Common Stock ($5 par, 500,000 shares authorized) Additional Paid in Capital - Preferred Additional Paid in Capital - Common Retained Earnings 1,050,000 288,120 3,108,000 1,199,800 During 2022, the corporation had the following transactions and events relating to its Stockholders Equity: Jan. 2 Purchased 3,500 shares of its own common stock to add to the Treasury at a cost of $75,250. Feb. 21 Issued 14,000 shares of common stock in exchange for a building. On the date of the exchange, the FMV of the building was $296,800 and the stock was trading at $20.25 per share. Mar. 21 Sold 1,400 shares of treasury stock-common for $24 per share. Nov. 14 Issued 700 shares of preferred stock for $50,400 Dec. 31 Determined that net income for the year was $316,400. Dividends were declared and paid during December. These dividends included a $0.20 per share dividend to common stockholders of record as of December 20. There are no dividends in arrears. What is total stockholder's equity as of December 31, 2022? Select one: о a. $6,258,490 о b. $6,256,390 о c. $6,254,290 d.35.245.500
The Stockholder's Equity accounts of a corporation on January 1, 2022, were as follows: Preferred Stock (5%, $10 par, cumulative, 5,000 shares authorized) $49,000 Common Stock ($5 par, 500,000 shares authorized) Additional Paid in Capital - Preferred Additional Paid in Capital - Common Retained Earnings 1,050,000 288,120 3,108,000 1,199,800 During 2022, the corporation had the following transactions and events relating to its Stockholders Equity: Jan. 2 Purchased 3,500 shares of its own common stock to add to the Treasury at a cost of $75,250. Feb. 21 Issued 14,000 shares of common stock in exchange for a building. On the date of the exchange, the FMV of the building was $296,800 and the stock was trading at $20.25 per share. Mar. 21 Sold 1,400 shares of treasury stock-common for $24 per share. Nov. 14 Issued 700 shares of preferred stock for $50,400 Dec. 31 Determined that net income for the year was $316,400. Dividends were declared and paid during December. These dividends included a $0.20 per share dividend to common stockholders of record as of December 20. There are no dividends in arrears. What is total stockholder's equity as of December 31, 2022? Select one: о a. $6,258,490 о b. $6,256,390 о c. $6,254,290 d.35.245.500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:The Stockholder's Equity accounts of a corporation on January 1, 2022, were as follows:
Preferred Stock (5%, $10 par, cumulative, 5,000 shares authorized) $49,000
Common Stock ($5 par, 500,000 shares authorized)
Additional Paid in Capital - Preferred
Additional Paid in Capital - Common
Retained Earnings
1,050,000
288,120
3,108,000
1,199,800
During 2022, the corporation had the following transactions and events relating to its Stockholders Equity:
Jan. 2 Purchased 3,500 shares of its own common stock to add to the Treasury at a cost of $75,250.
Feb. 21 Issued 14,000 shares of common stock in exchange for a building. On the date of the exchange, the FMV of the building was $296,800 and the stock was trading at $20.25 per share.
Mar. 21 Sold 1,400 shares of treasury stock-common for $24 per share.
Nov. 14 Issued 700 shares of preferred stock for $50,400
Dec. 31 Determined that net income for the year was $316,400. Dividends were declared and paid during December. These dividends included a $0.20 per share dividend to common stockholders of
record as of December 20. There are no dividends in arrears.
What is total stockholder's equity as of December 31, 2022?
Select one:
о
a. $6,258,490
о
b. $6,256,390
о
c. $6,254,290
d.35.245.500
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