Question

0/0 Help Save & su Check my we Power Drive Corporation designs and produces a line of golf equipment and golf apostel Power Drive has 100.000 shares of common stock outstanding as of the beginning of 2021 Power Drive has the following transactions affecting Stockholders' equity in 2021 March 1 Issues 51, aditional shares of $per value coon stock for $40 per share May 10 Purchases 4, shares of treasury stock for $61 per share. Pue 1 Declares a cash dividend of 51.30 per Share to all stockholders of record on June 15. treasury stock.) July 1 Pays the cash dividend declared on June 1. October 21 Resells 2,300 shares of treasury stock purchased. on May 10 forse per share : Dividends are not paid on Power Drive Corporation has the following beginning balances in its stockholders equity accounts on January 1, 2021 Common Stock $100,000. Additional Paid in Capital $4100.000, and Retamed Earnings, 51600,000 Net income for the year ended December 31 2021, is $560,000 Required: Prepare the statement of stockholders equity for Power Drive Corporation for the year ended December 31, 2021 (Amounts to be deducted should be indicated by a minus sign.) no POWER DRIVE CORPORATION Statement of stockholders' Equity For the Year Ended December 31, 2021 Additional Paldin Capital Retained Earning Balance, January 1 1000 Declare dividends Resell treasury stock et income Balance December 31 5 151.000 4111500 1600000 .

Answer 1

5 Balance January1 6 Issue common stock 7 Purchase treasury stock 8 Declare dividends 9 Resell treasury stock 10 Net income 11 Balance, December 31 E F Total Additional Retained Common Stock Treasury Stock Stockholder's Paid in Capital Earning Equity 100,000 $ 4,100,000 $ 1,600,000 $ $ 5,800,000 51,000 $ 2,397,000$ - $ - $ 2,448,000 $ -234,600 $ -234,600 - $ -190,320 $ - $ -190,320 11,500 $ - $ 117,300 $ 128,800 $ 560,000 $ - $ 560,000 151,000 $ 6,508,500 $ 1,969,680 $ - 117,300 $ 8,511,880

Common Stock Additional Paid in Capital Retained Earning Treasury Stock Total Stockholder's Equity 1600000 =+B5+D5+C5 =+B6+C6 =+E7 =-4600*51 5 Balance January1 100000 4100000 6 Issue common stock =51000*1 =51000*(48-1) 7 Purchase treasury stock 8 Declare dividends 9 Resell treasury stock =2300*(56-51) 10 Net income 11 Balance, December 31 =SUM(B5:B10) =SUM(C5:010) =-(100000+51000-4600) *1.3 =+D8 560000 =SUM(D5:010) =2300*51 =+C9+E9 =+D10 =SUM(E5:E10) =SUM(F5:F10)