On January 1, 2018. Queens Company reported the following stockholders' equity: Common Stock, $5 par (300,000 shares

Question:

On January 1, 2018. Queens Company reported the following stockholders' equity:

Common Stock, $5 par (300,000 shares authorized, 100,000 shares issued and outstanding) ....... $ 500,000

Additional Paid-in Capital in Excess of Par - Common ........................................................................... 200,000

Retained Earnings ....................................................................................................................................... 700,000

Total Stockholders' Equity .......................................................................................................................... $1,400,000

On January 4, the company purchased 10,000 shares of its own stock at $25 per share to be held as treasury stock. On June 30, the company declared a $2 per share cash dividend to be paid on July 7. Net income for the year ended December 31 amounted to $280,000.

Prepare the stockholders' equity section of Queens Company's balance sheet at December 31, 2018.

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... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...

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