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Resolution Stock Capital

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					                                   Stockholders' Equity:
                                   6% preferred stock, $100 par value, callable at $102 per share,
                                   150000 shares authorized………………..…..…………………….…….………….…………..…………….……………………...
                                                                                                      $8,000,000
                                   Common Stock, $10 par value, 2000000 shares authorized……………………….....………………………………………………..…
                                                                                                                 15,000,000
                                   Additional paid-in capital:
                                     Preferred Stock…………………………...…………………….……...…………………………………………..
                                                                                          $300,000
                                     Common Stock……………………………………………………….…………………..……….….…………………..1,800,000
                                                                                     1,500,000
                                   Retained Earnings…………………………………………………...……...…………………………………………………………..
                                                                                                 5,860,000
                                     Total stockholders' equity                                                        $30,660,000



                                   Questions:                                                                                        check

                                   How many shares of preferred stock have been issued?

                                   What is the total annual dividend requirement on the outstanding preferred stock?                              80,000

                                   How many shares of common stock have been issued?                                                             480,000

                                   What is the average price per share received for common shares issued?                                    1,500,000

                                   What is the total amount of legal capital?                                                                $     11.00

                                   What is the total paid-in capital?                                                                         ########

                                   What is the book value per share of common stock? (no dividends in arrears)                                ########

                                                                                                                                             $     15.00




feed

pf     div %                 6.0
       par value            $100
       callable at          $102
       issued              #####
       authorized          #####
cs     pic                 #####
       par value            $10
       authorized          #####
       issued              #####
       pic                 #####
       retained earnings   #####
       July                June

base

pf     div %                 5.0
       par value            $100
       callable at          $103
       issued              #####
       authorized          #####
cs     pic                 #####
       par value             $2
       authorized          #####
       issued              #####
       pic                 #####
       retained earnings   #####


problem 2

pf     div %                 6.0
       par value            $100
       callable at          $102
       issued              #####
       authorized          #####
cs     pic                 #####
       par value            $10
       authorized          #####
       issued              #####
       pic                 #####
       retained earnings   #####


problem1

pf     div %                 5.5
       par value            $50
       callable at          $101
       issued               800
       authorized          1,200
cs     pic                 #####
       par value           $1.50
       authorized          #####
       issued              #####
       pic                 #####
       retained earnings   #####
EquityCalc: A tool to help students better understand Owners' Equity.

Using the data provided in the Owners' Equity section of the balance sheet, answer the questions.
                         .
When you start the application, default data will load.



At any time you may check your answers.


Or, you may clear the input.


Or, you can select problem 1 or problem 2.
             (assuming all stock was issued at one time)


Journal Entry                                                      Debit          Credit



Cash                                                       $ 16,500,000

       Capital Stock - Common                                              $ 15,000,000
       Additional Paid-in Capital - Common                                    1,500,000



Cash                                                       $   8,300,000

       Capital Stock - Preferred                                           $   8,000,000
       Additional Paid-in Capital - Preferred                                    300,000

				
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Description: Resolution Stock Capital document sample