Question

Carson Corporation has the following capital stock outstanding at December 31, 2019: 9% Preferred stock, $100 par value, cumulative 15,000 shares issued and outstanding $1,500,000 Common stock, no par, $10 stated value, 500,000 shares authorized, 350,000 shares issued and outstanding $3,500,000 The preferred stock was issued at $110 per share. The common stock was issued at $16 per share. Instructions Prepare the paid-in capital section of the balance sheet at December 31, 2019. Carson Corporation Balance Sheet (partial) As of December 31, 2019 Stockholders' equity Capital stock 9% Preferred stock, $100 par value, cumulative 15,000 shares issued and outstanding                         $1,500,000 Common stock, no par, $10 stated value,  500,000 shares                     authorized, 350,000 shares issued and outstanding 3,500,000 Total Capital Stock 5,000,000 Additional paid in capital In excess of par value - preferred stock $150,000 In excess of stated value - common stock 2,100,000 Total additional paid in capital 2,250,000 Total paid in capital $7,250,000

Answer 1

Carson Corporation Balance Sheet (partial) As of December 31, 2019 Stockholders' equity Capital stock 9% Preferred stock, $100 par value, cumulative 15,000 shares issued and outstanding $ 1,500,000 $ 3,500,000 $5,000,000 Common stock, no par, $10 stated value, 500,000 shares authorized, 350,000 shares issued and outstanding Total Capital Stock Additional paid in capital In excess of par value - preferred stock In excess of stated value - common stock Total additional paid in capital Total paid in capital $ 150,000 $ 2,100,000 $ 2,250,000 $ 7,250,000