Transaction in accounts under an accounting equation

Assignment Help Financial Accounting

Reference no: EM13183253

Midwest Corp completed the following transactions in 2012, the first year of operation.

1. Issued 20,000 shares of $10 par common stock at par.
2. Issued 2,000 shares of $30 stated value preferred stock at $32 per share.
3. Purchased 500 shares of common stock as treasury stock for $15 per share.
4. Declared a five percent dividend on preferred stock.
5. Sold 300 shares of treasury stock for $18 per share.
6. Paid the cash dividend on preferred stock that was declared in event four.
7. Earned cash service revenue of $75,000 and incurred cash operating expenses of $42,000.
8. Appropriated $6,000 of retained earnings.

Required

a. Organize the transaction in accounts under an accounting equation.

b. Prepare the stockholders equity section of the balance sheet as of December 31, 2012.

Reference no: EM13183253

Questions Cloud

Why you selected your respective fiscal policy action : What would be the appropriate fiscal policy to help our economy? Please evaluate how our economy is doing and why you selected your respective fiscal policy action. What are some of the challenges of using fiscal policy to sta..

Direct materials and conversion between february and march : Prepare a cost of production report, and identify the missing amounts for Work in Process-Roasting Department and determine the increase or decrease in the cost per equivalent unit for direct materials and conversion between February and March.

What is the probability that the sample mean income : The mean annual income for people in a certain city (in thousands of dollars) is 38, with a standard deviation of 31. A pollster draws a sample of 43 people to interview. Find the 68th percentile of the sample mean.A certain car model has a mean..

Depict an energy diagram to show the progress of reaction : Draw an energy diagram to show the progress of reaction (including reactants, transition state(s) and intermediate (if any). Then explain how the major product was determined.

Transaction in accounts under an accounting equation : Organize the transaction in accounts under an accounting equation and prepare the stockholders equity section of the balance sheet as of December 31, 2012.

Value and present financial statements : Assess financial accounting standards as they relate to presentation and disclosure in general purpose financial statements and evaluate, measure, value and present financial statements in conformity with GAAP relating to assets

Depict the mechanism of the reaction of acetone : draw the mechanism of the reaction of acetone and cis-1,2- cyclohexanediol in the presence of hydrochloric acid to form the acetonide 3?

State benzoic acid and the equilibrium for each ph value : the indicated ph value for the titration of 50.00 ml of .100 M benzoic acid (ka = 6.3 x 10^-5) with .0500 M KOH: ph = 4.20, 4.50.8.06, 11.50. write te reaction for KOH reacting with benzoic acid and the equilibrium for each pH value

How much will profits be affected : John Smith, C.E.O. of A.B.Co. is attempting to estimate the quantity of his product that will be demanded during April. At the current price of $20.00, A.B. Co. is selling 100,000 units per month. Mr. Smith has been informed th..

User Account

All Pages