Prepare the stockholders equity section for Flint Company

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Question - Flint 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 stockholders' equity.

Preferred Stock, 160,200 shares $ 3,204,000

Common Stock, 1,983,000 shares 9,915,000

Paid-in Capital in Excess of Par-Preferred Stock 200,000

Paid-in Capital in Excess of Par-Common Stock 26,495,000

Retained Earnings 4,431,000

The following transactions affected stockholders' equity during 2021.

Jan. 1 29,300 shares of preferred stock issued at $24 per share.

Feb. 1 48,800 shares of common stock issued at $21 per share.

June 1 2-for-1 stock split (par value reduced to $2.50).

July 1 28,100 shares of common treasury stock purchased at $11 per share. Flint uses the cost method.

Sept. 15 10,200 shares of treasury stock reissued at $12 per share.

Dec. 31 The preferred dividend is declared, and a common dividend of 55¢ per share is declared.

Dec. 31 Net income is $2,103,000.

Required - Prepare the stockholders' equity section for Flint Company at December 31, 2021.

Reference no: EM132661182

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