Using the following accounts and balances, prepare the Stockholders’ Equity section of the balance sheet. Five-hundred thousand shares

Using the following accounts and balances, prepare the Stockholders’ Equity section of the balance sheet. Five-hundred thousand shares of common stock are authorized, and 40,000 shares have been reacquired.












Common Stock, $120 par $48,000,000
Paid-In Capital from Sale of Treasury Stock 4,500,000
Paid-In Capital in Excess of Par—Common Stock 6,400,000
Retained Earnings 63,680,000
Treasury Stock 5,200,000







Answer:













Stockholders’ Equity
Paid-in capital:
Common stock, $120 par (500,000 shares
authorized, 400,000 shares issued) $48,000,000
Excess of issue price over par 6,400,000 $ 54,400,000
From sale of treasury stock 4,500,000
Total paid-in capital $ 58,900,000
Retained earnings 63,680,000
Total $122,580,000
Deduct treasury stock (40,000 shares at cost) 5,200,000
Total stockholders’ equity $117,380,000