(L.OBJ. 3, 4) Stockholders’ equity section of the balance sheet [20—25 min] The followi...

(L.OBJ. 3, 4) Stockholders’ equity section of the balance sheet [20—25 min]

The following summaries for Montgomery Service, Inc., and Gendron, Co., provide the information needed to prepare the stockholders’ equity section of each company’s balance sheet. The two companies are independent.

Requirement

1. For each company, prepare the stockholders’ equity section of its balance sheet at December 31, 2011. Show the Computation of all amounts. Entries are not required.