On January 1, 2009, Mulcahy Manufacturing, Inc., a newly formed corporation, issued 1,000 shares of common stock

Question:

On January 1, 2009, Mulcahy Manufacturing, Inc., a newly formed issued 1,000 shares of in exchange for $150,000 cash. No other shares were issued during 2009, and no shares were repurchased by the On November 1, 2009, the corporation's major stockholder sold 300 shares to another stockholder for $60,000. The reported net income of $22,300 for 2009.

Required:
Prepare the stockholders' equity section of the corporation's at December 31, 2009.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...