Question

The following information pertains to Ming Corp. at January 1, 2018: Common stock, $8 par, 44,000 shares authorized, 2,500 shares issued and outstanding Paid-in capital in excess of par, common stock Retained earnings $ 20,000 127,300 127,300 Ming Corp. completed the following transactions during 2018: 1. Issued 2300 shares of $8 par common stock for $13 per share. 2. Repurchased 1,800 shares of its own common stock for $16 per sha 3. Resold 1,080 shares of treasury stock at $18 per share. 4. Earned $64,600 of cash revenues. 5. Paid $34,400 of cash operating expenses. Required Prepare the stockholders' equity section of the year-end balance sheet MING CORPORATION 38,400 Balance Sheet (Partial) As of December 31, 2018 Stockholders' Equity Paid-in capital in excess of cost-treasury stock Common stock Paid-in capital in excess of par-common stock Paid-in capital in excess of cost-treasury stock Total paid-in capital Retained earnings Less: Treasury stock Total stockholders' equity $ 38,400 $ 38,400

Answer 1

Answer

Stockholder's Equity
Common Stock (2500+2300) x $ 8 par	$38,400
Paid in Capital in excess of Par - Common Stock	$138,800
Paid in Capital in excess of cost - Treasury Stock (1080 shares x $ 2)	$2,160
Total paid in Capital		$179,360
Retained Earnings ($127300 + 64600 - 34400)		$157,500
Less: Treasury Stock (1800 - 1080 shares x $16)		$11,520
Total Stockholder's Equity		$325,340