Question

reparation of Stockholders’ Equity Section Wildcat Drilling has the following accounts on its trial balance. Debit Credit Retained Earnings 600,000 Cash 825,000 Additional Paid-In Capital—Common 3,100,000 Additional Paid-In Capital—Preferred 400,000 Accounts Payable 345,000 Accounts Receivable 410,000 Common Stock, $1 par 600,000 Preferred Stock, $10 par 340,000 Inventory 1,300,000 Treasury Stock—Common (30,000 shares) 382,000 Accumulated Other Comprehensive Income 70,000 Required: Prepare the stockholders’ equity portion of Wildcat’s balance sheet.

Answer 1

Wildcat Drilling

Stockholders' Equity Section:

Common Stock, $1 par 600,000

Preferred Stock, $10 par 340,000

Additional Paid-In Capital—Common 3,100,000

Additional Paid-In Capital—Preferred 400,000

Treasury Stock—

Common (30,000 shares) (382,000)

Retained Earnings 600,000

Accumulated Other Comprehensive Income 70,000

Step-by-step explanation:

a) Data and Calculations:

Wildcat Drilling Trial Balance Accounts:

Debit Credit

Cash 825,000

Accounts Receivable 410,000

Inventory 1,300,000

Accounts Payable 345,000

Common Stock, $1 par 600,000

Preferred Stock, $10 par 340,000

Additional Paid-In Capital—Common 3,100,000

Additional Paid-In Capital—Preferred 400,000

Treasury Stock—

Common (30,000 shares) 382,000

Retained Earnings 600,000

Accumulated Other Comprehensive Income 70,000