Question

CBA Company reported total stockholders' equity of $76,000 on its balance sheet dated December 31, 2018. During the year ended December 31, 2019, CBA reported net income of $11,900, declared and paid a cash dividend of $3,900, and issued additional common stock for $11,000. What is total stockholders' equity as of December 31, 2019

Answer 1

$95,000

Step-by-step explanation:

Calculation to determine What is total stockholders' equity as of December 31, 2019

Using this formula

Total stockholders' equity=Total stockholders' equity+Net income-Cash dividend+Additional common stock

Let plug in the formula

December 31, 2019 stockholders’ equity=$76,000+$11,900-$3,900+$11,000

December 31, 2019 stockholders’ equity=$95,000

Therefore total stockholders' equity as of December 31, 2019 is $95,000