User Account

All Pages

What is the balance in the common stock

Assignment Help Accounting Basics
Reference no: EM131646181

Question - The ACJ Corporation was organized on January 1, Year 1 with the investment of $400,000 by each of its four stockholders. Net income for its first year of business was $182,000. There was a loss of $62,000 in Year 2. Net income during Year 3 was $195,000 and increased by $50,000 during Year 4. The ACJ Corporation paid no dividends during Year 1 and Year 2. It then paid $26,000 in dividends in Year 3 and increased it to $38,000 for the next year. During Year 3, $700,000 additional stock was issued.

1. Prepare a statement of retained earnings for each of the 4 years.

2. What is the total SE for each of the 4 years?

3. What is the balance in the retained earnings on January 1, Year 5?

4. What is the balance in the common stock (also called contributed capital or capital stock) on 01/01/Year 5?

5. Should the ending retained earnings equal the cash on balance sheet? Explain.

6. Should ending retained earnings equal NI? Explain.

Reference no: EM131646181

Questions Cloud

Effects of drug abuse on academic performance : How would an organization benefit from operational planning? Write A research Proposal on The Effects of Drug abuse on Academic Performance in Secondary schools
Prepare all journal entries requires in the year ending : Prepare all journal entries requires in the year ending Oct 31st ,2017 assuming that ABC initially records prepaid cost as expense and use reversing entries
Convert each value to a standardized z value : If a value from distribution A is 50,000 and a value from distribution B is 40.0, convert each value to a standardized z value.
Parenting children during separation and after divorce : locate two recently published articles from scholarly journals that report research findings on parenting children during separation and after divorce
What is the balance in the common stock : The ACJ Corporation was organized on January 1, What is the balance in the common stock (also called contributed capital or capital stock) on 01/01/Year 5
Making and implementation of public policy : In what ways can interest groups influence the making and implementation of public policy?
Prepare the revaluation and pre-acquisition journal entries : On 1 July 2011, Parent Ltd acquired 100% of the share capital of Son Ltd for $ 1,000,000. Prepare the revaluation and pre-acquisition journal entries
Describe a product idea that is unique for company : Design and describe a product idea that is unique for a company. Demonstrates significant thought and research behind the idea.
What is the added cost due to the uncertainty of demand : What is the added cost due to the uncertainty of demand (i.e. this is the cost of holding the safety stock)?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Discuss the importance of senior management

Please be advised that each answer will be turned into turnitin.com by teacher. Also, it is important that each answer is numbered according to the question.

  Difference between prepaid rent and deferred rent

What did the company report for Deferred Rent and Other liabilities at the end of fiscal year 2012? Where did you find this information and what is the difference between prepaid rent and deferred rent?

  Discuss whether fred is a resident of australia for taxation

Discuss whether Fred is a resident of Australia for taxation purposes. Explain why the receipts in Egerton-Warburton & Ors v DFC of T (1934) 51 CLR 568 were assessable, but the receipts in IRC v Ramsay (1935) 1 All ER 847 were treated as capital amou..

  The chicago omni hotel is a 750-room luxury hotel offering

the chicago omni hotel is a 750-room luxury hotel offering guests the finest facilities in downtown chicago. the hotel

  What are the purposes of accounting codes

What are the purposes of accounting codes? How are they used? Are 'accounting codes' only used in accounting? (be sure to support with research and example)

  What is the cost of purchasing the equipment

MLC, Inc. plans to either lease or buy equipment. The equipment has a 3-year life with no salvage expected. The company will depreciate on a straight-line basis over 3 years. The company can borrow the $6 million purchase price at 10% to buy the equi..

  Obtain the relevant authoritative literature

The FASB Accounting Standards Codification represents the single source of authoritative U.S. generally accepted accounting principles.

  Following is a trial balance for the jayce county general

Following is a trial balance for the Jayce County General Hospital, a governmental hospital. The hospital does not use fund accounting.

  Prepare a statement of cash flows for the year ending

prepare a statement of cash flows for the year ending december 31 2014 using the indirect method of reporting cash

  Forecasted sales revenue from the product

Martin Company sells a certain product for $15 per unit. The beginning inventory is 40,000 units, and the desired ending inventory is 32,000 units. If budgeted production is 100,000 units, what is the forecasted sales revenue from the product?

  Business question-journal entries

During the current year, the Yellow Rose Company completed construction of a new assembly facility in Ocala, Florida. The facility will receive components from Yellow Rose other facilities and assemble them for shipment to distributors. The follow..

  Prepare the incremental analysis for the decision to make

schopp inc. has been manufacturing its own shades for its table lamps. the company is currently operating at 100 of

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd