Reference no: EM132751925
On January 1, 2019, Carlos Corporation had the following stockholders' equity account balances.
Common Stock, no par value (500,000 shares issued) $1,500,000
Common Stock Dividends Distributable 200,000
Retained Earnings 600,000
During 2019, the following transactions and events occurred.
1. Issued 50,000 shares of common stock as a result of 10% stock dividends declared on December5, 2018.
2. Issued 30,000 shares of common stock for cash at $6 per share.
3. Corrected an error that had understated the net income for 2017 by $70,000.
4. Declared and paid a cash dividend of $80,000.
5. Earned net income of $300,000.
Instructions:
Problem 1: Prepare the stockholders' equity section of the balance sheet at December 2019.