Question

Roberto Corporation was organized on January 1, 2018. The firm was authorized to issue 86,000 shares of $5 par common stock. During 2018, Roberto had the following transactions relating to shareholders' equity: Issued 10,600 shares of common stock at $6.30 per share. Issued 19,900 shares of common stock at $9.20 per share. Reported a net income of $107,000. Paid dividends of $56,000. Purchased 2,000 shares of treasury stock at $11.20 (part of the 19,900 shares issued at $9.20). What is total shareholders' equity at the end of 2018?

Answer 1

Total Stockholders equity 227,460

Step-by-step explanation:

Common Stock 28,500 shares outstanding at $5 142,500

10600 5 53000

19900 5 99500

-2000 5 -10000 Treasury Stock

28500 142500

Additional Paid-InCapital 97,360

Additional Paid-In TS (12,400)

Total Stockholders equity 227,460