The following accounts appear in the ledger of Horner Inc. after the books are closed at December 31.
Common Stock, no par, $1 stated value, 400,000 shares authorized;
300,000 shares issued ................... $ 300,000
Common Stock Dividends Distributable ............ 30,000
Paid-in Capital in Excess of Stated Value—Common Stock .... 1,200,000
Preferred Stock, $5 par value, 8%, 40,000 shares authorized;
30,000 shares issued .................... 150,000
Retained Earnings .................... 800,000
Treasury Stock (10,000 common shares) ........... 74,000
Paid-in Capital in Excess of Par—Preferred Stock ........ 344,000
Instructions
Prepare the stockholders’ equity section at December 31, assuming retained earnings is restricted for plant expansion in the amount of $100,000.