Quick FixIt Corporation was organized at the beginning of th

Quick Fix-It Corporation was organized at the beginning of this year to operate several car repair businesses in a large metropolitan area. The charter issued by the state authorized the following stock: Common stock, $14 par value, 99,300 shares authorized Preferred stock, $48 par value, 8 percent, 60,000 shares authorized During January and February of this year, the following stock transactions were completed: a. Sold 79,400 shares of common stock at $28 cash per share. b. Sold 21,100 shares of preferred stock at $76 cash per share. c. Bought 5,300 shares of common stock from a current stockholder for $13 cash per share. Required: Net income for the year was $90,400; cash dividends declared and paid at year-end were $30,300. Prepare the stockholders\' equity section of the balance sheet at the end of the year. (Amounts to be deducted should be indicated with a minus sign.) QUICK FIX-IT CORPORATION Balance Sheet (Partial) At December 31, This year Stockholders\' equity: Contributed Capital: Total contributed capital Total contributed capital and retained earnings Total stockholders\' equity

Solution

Stockholder\'s equity Section :

Stockholder\' equity
Contributed capital
Common Stock	1111600
paid in capital in excess of par value-Common Stock	1111600
Preferred Stock	1012800
paid in capital in excess of par value-Preferred Stock	590800
Total Contributed capital		3826800
Retained earnings		60100
Total Contributed capital and retained earnings		3886900
Less; Treasury Stock		-68900
Total Stockholder\'s equity		3818000