Question

Problem 14-03A ad on January 1, 2020, Pharoah Corporation had the following stockholders' equity accounts. Common Stock (no par value, 89,000 shares issued and outstanding) Retained Earnings $1,425,000 517,000 During the year, the following transactions occurred. Feb. 1 Declared a $1 cash dividend per share to stockholders of record on February 15, payable March 1. Mar. 1 Paid the dividend declared in February Apr 1 Announced a 3-for-1 stock split. Prior to the split, the market price per share was $35. July 1 Dedared a 6% stock dividend to stockholders of record on July 15, distributable July 31. On July 1, the market price of the stock was $12 per sh 31 Issued the shares for the stock dividend. Dec. 1 Dedared a $0.50 per share dividend to stockholders of record on December 15, payable January 5, 2021. 31 Determined that net income for the year was $375,000 Your answer is partially correct. Try again. Prepare the stockholders' equity section of the balance sheet at March 31. (Enter account name only and do not provide descriptive information. Rour PHAROAH CORPORATION Partial Balance Sheet For the Quarter Ended March 31, 2020 Stockholders' Equity TPaid in Capital Capital Stock T Common Stock Dividends Distributable 1425000 TRetained Earnings 517000 Total Stockholders' Equity 908000 SHOW LIST OF ACCOUNTS

Answer 1

Part A

PHAROAH CORPORATION Partial Balance Sheet March 31, 2020
Stockholders' Equity
Paid-in Capital
Capital Stock
Common Stock	1425000
Retained Earning	428000
Total Stockholders' Equity	$1853000

517000-(89000*1) = 456000

Part B

PHAROAH CORPORATION Partial Balance Sheet June 30, 2020
Stockholders' Equity
Paid-in Capital
Capital Stock
Common Stock	1425000
Retained Earning	428000
Total Stockholders' Equity	$1853000

Part C

PHAROAH CORPORATION Partial Balance Sheet September 30, 2020
Stockholders' Equity
Paid-in Capital
Capital Stock
Common Stock	1617240
Retained Earning	235760
Total Stockholders' Equity	$1853000

1425000+((89000*3)*6%*12)) = 1425000+192240 = 1617240

428000-192240 = 235760

Part D

PHAROAH CORPORATION Partial Balance Sheet December 31, 2020
Stockholders' Equity
Paid-in Capital
Capital Stock
Common Stock	1617240
Retained Earning	469250
Total Stockholders' Equity	$2086490

1425000+((89000*3)*6%*12)) = 1425000+192240 = 1617240

((89000*3)+(89000*3*6%)) = 283020

235760+375000-(0.50*283020) = 469250