Instructions Using the following accounts and balances prepa

Instructions Using the following accounts and balances, prepare the Stockholders\' Equity section of the balance sheet 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. For those boxes in which you musit enter subtracted or negative numbers use a minus sign Two hundred fifty thousand shares of common stock are authorized, and 15,100 shares have been reacquired. Common Stock, $50 par Paid-In Capital from Sale of Treasury Stock Paid-In Capital in Excess of Par-Common Stock Retained Earnings Treasury Stock $10,650,000 320,000 3,190,000 19,200,000 981,500

Solution

Stockholders\' Equity Paid in capital Common stock, $50 par 10650000 (250,000 shares authorized, 213,000 Shares issued) Excess over par 3190000 13840000 From sale of treasure stock 320000 Total paid-in capital 320000 Retained earnings 19200000 Total 19520000 Deduct- Treasury stock (15,100 shares at cost) 981500 Total stockholders’ equity 18538500