Question Details

 Prepare the stockholders' equity section of the balance sheet for Palmer 



1
The stockholders' equity section of Palmer Corporation's balance sheet at December 31, 2007,
appears below:
Stockholders' equity
Paid-in capital
Common stock, $10 par value, 400,000 shares authorized;
250,000 issued and outstanding $2,500,000
Paid-in capital in excess of par 1,200,000
Total paid-in capital 3,700,000
Retained earnings 600,000
Total stockholders' equity $4,300,000
During 2008, the following stock transactions occurred:
Jan. 18 Issued 50,000 shares of common stock at $30 per share.
Aug. 20 Purchased 25,000 shares of Palmer Corporation's common stock at $24 per share to
be held in the treasury.
Nov. 5 Reissued 9,000 shares of treasury stock for $28 per share.
Instructions
(a) Prepare the journal entries to record the above stock transactions.
(b) Prepare the stockholders' equity section of the balance sheet for Palmer Corporation at
December 31, 2008. Assume that net income for the year was $100,000 and that no
dividends were declared


2
Tyler Corporation has 100,000 shares of $40 par value preferred stock authorized. During the
year, it had the following transactions related to its preferred stock.
(a) Issued 30,000 shares at $55 per share.
(b) Issued 10,000 shares for equipment having a $700,000 asking price. The stock had a market
value of $60 per share
Instructions
Journalize the transactions.




Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help