Question

Ruth's Chris Steakhouse is the largest upscale steakhouse company in the United States, based on total company- and franchisee-owned restaurants. The company's menu features a broad selection of high-quality USDA prime steaks and other premium offerings. Select information from the company's annual report is shown below: Common stock, $0.01 par value, 100,000,000 shares authorized, 34,333,858 issued and outstanding at December 31, 2014; 34,990,170 issued and outstanding at December 31, 2013. Additional paid-in capital: $155,455,000 at the end of 2014 and $169,107,000 at the end of 2013. Accumulated deficit: $68,804,000 at the end of 2013. In 2014, net income was $16,455,000 and a cash dividend of $7,138,000 was paid.

Required: Prepare the stockholders' equity section of the balance sheet at December 31, 2014, using this select information. (Amounts to be deducted should be indicated with a minus sign.)

Answer 1

Balance Sheet (Partial)
as on 31 December, 2014
Stockholders' Equity
Common Stock, 100,000,000 Shares Authorized, $0.01 Par value 34,333,858 Shares Issued and Outstanding	$                     343,339
Additional Paid in capital - Common Stock	$             155,455,000
Total Paid in Capital	$             155,798,339
Less: Accumulated Deficit	$              (59,587,000)
Total Stockholder's Equity	$                96,211,339

Working

Accumulated Deficit 31st December 2014

Accumulated Deficit , 31.12.2013	$              (68,804,000)
Add: Net Income	$                16,455,000
Less: Dividend Paid	$                (7,138,000)
Accumulated Deficit , 31.12.2014	$              (59,487,000)