Question

Bramble Corp. has these accounts at December 31:

Common Stock, $12 par, 6,900 shares issued, $82,800;

Paid-in Capital in Excess of Par Value $20,400;

Retained Earnings $45,400;

and Treasury Stock, 640 shares, $14,080.


Prepare the stockholders' equity section of the balance sheet.

Answer 1

Total shareholders' equity is $134,520

Step-by-step explanation:

Bramble Corp.

Extract of balance sheet as at 31st December:

Common stock,$12 par,6900 shares issued and outstanding $82,800

Paid-in capital in excess of par $20,400

Total paid-in capital $103,200

Retained earnings $45,400

Total paid-in capital and retained earnings $148,600

less:treasury stock 640 shares ($14,080)

Total stockholders' equity $134,520

This is a standard proforma for the equity section of the balance sheet which comprises of the funds in the business attributed to the owners of the business,the shareholders.

After this section comes the liabilities,the non-current and current liabilities.