Question

Information:

After closing its books on December 31, 20--, Hilltop Corporation stockholders' equity accounts have the following balances.

Paid-in capital in excess of par-preferred stock		$45,000
Paid-in capital in excess of par-common stock		19,000
Paid-in capital from the sale of treasury stock		32,000
Retained earnings		111,000

Instructions:

Complete the stockholders' equity section of the balance sheet. (30 points total)

Hilltop Corporation
Stockholders' Equity
December 31, 20--
Paid-in capital:
Preferred stock, 6%, $14 par (15,000 shares issued and outstanding)	$
Preferred stock subscribed (6,000 shares)		$
Common stock, $10 par (70,000 shares issued and 44,000 shares outstanding)	$
Common stock subscribed (20,000 shares)
Additional paid-in capital:
Paid-in capital in excess of par-preferred stock	$
Paid-in capital in excess of par-common stock
Paid-in capital from the sale of treasury stock
Total paid-in capital		$
Retained earnings
		$
Less: Treasury stock (5,000 shares; $14 cost per share)
Total stockholders' equity		$

Answer 1

Solution:
	STOCKHOLDER'S EQUITY
	Paid In Capital
	Preferred Stock 6% , $ 14 Par (15,000 Shares issued and Outstanding)		$           2,10,000
	Common stock, $10 par (70,000 shares issued and 44,000 shares outstanding)		$           4,40,000
	Addittional Paid in Capital :
	Paid-in capital in excess of par-preferred stock		$              45,000
	Paid-in capital in excess of par-common stock		$              19,000
	Paid-in capital from the sale of treasury stock		$              32,000
	Total Paid in Capital		$           7,46,000
	Retained Earnings		$           1,11,000
	Total		$           8,57,000
	Less: Treasurry Stock(5,000 Shares ; $ 14 cost per shares)		$              70,000
	Total Stockholder's Equity		$           7,87,000