Prepare the stockholders equity section of the balance sheet

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Assignment

The following is a summary of all relevant transactions of Waterway Corporation since it was organized in 2017.

In 2017, 16,100 shares were authorized and 6,600 shares of common stock ($60 par value) were issued at a price of $68. In 2018, 900 shares were issued as a stock dividend when the stock was selling for $69. 330 shares of common stock were bought in 2019 at a cost of $73 per share. These 330 shares are still in the company treasury.

In 2018, 10,200 preferred shares were authorized and the company issued 4,800 of them ($100 par value) at $117. Some of the preferred stock was reacquired by the company and later reissued for $4,480 more than it cost the company. The corporation has earned a total of $573,800 in net income after income taxes and paid out a total of $309,700 in cash dividends since incorporation.

Prepare the stockholders' equity section of the balance sheet in proper form for Waterway Corporation as of December 31, 2019. Account for treasury stock using the cost method. (Enter account name only. Do not provide descriptive information.)

Reference no: EM132324736

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