Stockholders’ Equity:
The amount of assets that are left available to shareholders after all liabilities are paid off is known as the stockholder’s equity of the company.
Partial Balance Sheet as at Mar 31
Amount ($)
Stockholders' Equity
Paid in capital
Capital stock:
Common Stock (91000 shares) 1385000
Retained earning (546000-91000) 455000
Total stockholders' equity 1840000
Partial Balance Sheet as at June 30
Amount ($)
Stockholders Equity
Paid in capital
Capital stock:
Common stock (273000 shares) 1385000
Retained earnings 455000
Total stockholders' equity 1840000
Partial Balance Sheet as at Sept 30
Amount ($)
Stockholders Equity
Paid in capital
Capital stock:
Common Stock (289380 shares) 1385000
Retained earnings (566000-16380 stock dividend) 438620
Total stockholders' equity 1823620
Partial Balance Sheet as at Dec 31
Amount ($)
Stockholders' equity
Paid in capital
Capital stock:
Common Stock (289380 shares) 1385000
Retained earnings 294120
Total stockholders' equity 1679120
All the required partial balance sheets are prepared in steps of the solution.
Full Question ;
On January 1, 2022. Crane Corporation had the following stockholders' equity accounts.
Common Stock (no par value, 91.000
shares issued and outstanding) $1.385.000
Retained Earnings 546,000
During the year, the following transactions occurred
Feb. 1 ; Declared a $1 cash dividend per share to stockholders of record on February 15, payable
March 1 ; Paid the dividend declared in February
Apr. 1; Announced a 3-for-1 stock split. Prior to the split, the market price per share was $37.
July 1 ; Declared a 60% stock dividend to stockholders of record on July 15, distributable July 31. On July Le market price of the stock was $10 per share
31 ; Issued the shares for the stock dividend
Dec. 1; Declared a $0.50 per share dividend to stockholders of record on December 15, payable January 5, 2023
31;Determined that net income for the year was $31,000