The condensed balance sheet of JCB Corporation at December 31, 2011, is shown below.

During 2012, the following transactions affected stockholders' equity:
Feb. 15 Purchased 6,000 shares of JCB outstanding common stock at $18 per share.
May 21 Sold 3,500 of the shares purchased on February 15 at $21 per share.
Sept. 15 Issued 12,000 shares of previously unissued common stock at $22 per share.
Dec. 21 Sold the remaining 2,500 shares of treasury stock at $23 per share.
31 Closed net income of $91,600 to Retained Earnings. Revenues were $291,000; expenses were $200,000.
Required:
1. Prepare the journal entries to record the 2012 transactions.
2. Prepare the stockholders' equity section of the balance sheet at December 31, 2012.
3. Prepare a statement of stockholders' equity for the year ended December 31,2012.

Transcribed Image Text:

JCB Corporation Balance Sheet December 31, 2011 Assets $ 550,000 828,000 Cash ... All other assets. $1,378,000 Liabilities and Stockholders' Equity Current liabilities .. Long-term liabilities... $ 145,000 220,000 $ 365,000 Contributed capital: Common stock ($10 par, 150,000 shares authorized, 70,000 shares outstanding)... Paid-in capital in excess of par, common stock Retained earnings .. $ 700,000 140,000 173,000 $1,013,000 $1,378,000