Statement of stockholder’s equity: Statement of stockholder’s equity shows the equity related transactions like issue of stock, treasury stock or stock split etc. which influences the overall stockholder’s equity of a company. Statement of retained earnings : The statement of retained earnings reports the net income retained over the prior years and the net income and dividend paid by the company in the current year. To determine: What is reported by statement of stockholders’ equity and how does it differ from the statement of retained earnings.

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Chapter 13, Problem 21RQ

To determine

Statement of stockholder’s equity:

Statement of stockholder’s equity shows the equity related transactions like issue of stock, treasury stock or stock split etc. which influences the overall stockholder’s equity of a company.

Statement of retained earnings:

The statement of retained earnings reports the net income retained over the prior years and the net income and dividend paid by the company in the current year.

To determine:

What is reported by statement of stockholders’ equity and how does it differ from the statement of retained earnings.

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