Question

Reporting Paid-In Capital

The following accounts and their balances were selected from the adjusted trial balance of Point Loma Group Inc., a freight forwarder, at October 31, the end of the current fiscal year:

Common Stock, no par, $14 stated value	$700,000
Paid-In Capital from Sale of Treasury Stock	380,800
Paid-In Capital in Excess of Par—Preferred Stock	84,960
Paid-In Capital in Excess of Stated Value—Common Stock	1,680,000
Preferred 2% Stock, $120 par	708,000
Retained Earnings	4,691,000

Prepare the Paid-In Capital portion of the Stockholders' Equity section of the balance sheet using  Method 1 of Exhibit 8. There are 160,000 shares of common stock authorized and 16,000 shares of preferred stock authorized.

Point Loma Group Inc.,
Stockholders' Equity
October 31, 20XX
Paid-in Capital:
Preferred 2% Stock, $120 Par (16,000 Shares Authorized, 5,900 Shares Issued)	$
Excess over par
Paid-in capital, preferred stock		$
Common Stock, No Par, $5 Stated Value (160,000 Shares Authorized, 50,000 Shares Issued)	$
Excess over par
Paid-in capital, common stock
From Sale of Treasury Stock
Total Paid-In Capital		$

Answer 1

S $ 708.000 84,960 Point Loma Group Inc., Stockholders' Equity October 31, 20XX Paid in Capital: Preferred 2% Stock, $120 Par (16,000 Shares Authorized, 5,900 Shares Issued) Excess over par Paid in capital, Preferred Stock Common Stock, No Par, S14 Stated Value (160,000 Shares Authorized 50,000 Shares Issued) Excess over par Paid-in capital, common stock From Sale of Treasury Stock Total paid-in capital $ 792.960 S $ 700.000 1,680,000 $ S S 2,380,000 380.800 3,553,760