Required information E11-2 Reporting Stockholders' Equity and Determining Dividend Policy [LO 11-2, LO 11-3] [The following information applies to the questions displayed below.] Incentive Corporation was authorized to issue 12,000 shares of common stock, each with a $2 par value. During its first year, the following selected transactions were completed: Issued 5,000 shares of common stock for cash at $20 per share. Issued 1,000 shares of common stock for cash at $23 per share. E11-2 Part 3 Prepare the stockholders equity section as it should be reported on the year-end balance sheet. At year-end, the accounts reflected net income of $300.

E11-2 Part 3 3. Prepare the stockholders' equity section as it should be reported on the year-end balance sheet. At year-end, the accounts reflected net income of $300. INCENTIVE CORPORATION Balance Sheet (Partial) At December 31 Stockholders' Equity Contributed Capital: Common Stock Additional Paid-in Capital, Common Stock Total Contributed Capital Retained Earnings Total Stockholders' Equity