On December 31, 2021, Crane Company had 1,370,000 shares of $6 par common stock issued and outstanding. At December 31, 2021 stockholders’ equity had the amounts listed here.

Common Stock		$8,220,000
Additional Paid-in Capital		1,890,000
Retained Earnings		1,120,000

Transactions during 2022 and other information related to stockholders’ equity accounts were as follows.

1.		On January 10, issued at $107 per share 112,000 shares of $103 par value, 9% cumulative preferred stock.
2.		On February 8, reacquired 16,700 shares of its common stock for $10 per share.
3.		On May 9, declared the yearly cash dividend on preferred stock, payable June 10, to stockholders of record on May 31.
4.		On June 8, declared a cash dividend of $1.00 per share on the common stock outstanding, payable on July 10, to stockholders of record on July 1.
5.		Net income for the year was $3,515,000.

Prepare the stockholders’ equity section of Crane balance sheet at December 31, 2022.

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Stockholders capital Paid in capital Capital stock CRANE COMPANY Partial Balance Sheet As of December 31, 2022 Common stock Preferred stock Total capital stock Additional paid in capital Additional paid in capital- common stock Additional paid in capital- preferred stock Total additional paid in capital Total paid in capital Retained earnings Total paid in capital & Retained earnings Less: Treasury stock Total Stockholders' Equity $ 8,220,000 $ 11,536,000 $ 1,890,000 $ 448,000 $ 19,756,000 $ 2,338,000 $ 22,094,000 $ 2,243,460 $ 4,581,460 $ (167,000) $ 4,414,460 Stockholders capital Paid in capital Capital stock CRANE COMPANY Partial Balance Sheet As of December 31, 2022 Common stock Preferred stock Total capital stock Additional paid in capital Additional paid in capital- common stock Additional paid in capital- preferred stock Total additional paid in capital Total paid in capital Retained earnings Total paid in capital & Retained earnings Less: Treasury stock Total Stockholders' Equity $ 8,220,000 $ 11,536,000 $ 1,890,000 $ 448,000 $ 19,756,000 $ 2,338,000 $ 22,094,000 $ 2,243,460 $ 4,581,460 $ (167,000) $ 4,414,460

Answer rating: 100% (QA)

Date Accounts and explanation Jan10 Cash Preferred stock Additional paid in capital Preferred to rec... View the full answer