Reference no: EM132817212
Problem - Culver Company has two classes of capital stock outstanding: 8%, $20 par preferred and $5 par common. At December 31, 2020, the following accounts were included in stockholder:
Preferred Stock, 148,100 shares $2,962,000
Common Stock, 1,961,000 shares 9,805,000
Paid-in Capital in Excess of Par-Preferred Stock 191,000
Paid-in Capital in Excess of Par-Common Stock 27,124,000
Retained Earnings 4,537,000
The following transactions affected stockholders' equity during 2021.
Jan. 1 28,400 shares of preferred stock issued at $24 per share.
Feb. 1 53,400 shares of common stock issued at $20 per share.
June 1 2-for-1 stock split (par value reduced to $2.50).
July 1 31,100 shares of common treasury stock purchased at $10 per share. Culver uses the cost method.
Sept. 15 9,900 shares of treasury stock reissued at $11 per share.
Dec. 31 The preferred dividend is declared, and a common dividend of 54¢ per share is declared.
Dec. 31 Net income is $2,093,000.
Required - Prepare the stockholders' equity section for Culver Company at December 31, 2021.