PROBLEM 13-2C
(a) Mar. 1 Treasury Stock (5,000 X $6) ………………… 30,000
Cash …………………………………………… 30,000
June 1 Cash (1,000 X $10) ……………………………… 10,000
Sept. 1 Cash (2,000 X $9) …………………………..…… 18,000
Treasury Stock (2,000 X $6) ………….. 12,000
Paid-in Capital from Treasury
Stock (2,000 X $3) …………………….. 6,000
(b)
Paid-in Capital from Treasury Stock
Date
Explanation
Ref.
Debit
Credit
Balance
June 1
J12
4,000
4,000
Treasury Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Mar. 1
J12
30,000
30,000
PROBLEM 13-2C (Continued)
Retained Earnings
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Balance
100,000
(c) CHENG CORPORATION
Stockholders’ equity
Paid-in capital
Capital stock
Common stock, $1 par,
400,000 shares issued and
399,000 outstanding …………… $ 400,000
Additional paid-in capital
Retained earnings ………………………………. 150,000
Total paid-in capital and
retained earnings………… 1,059,000
PROBLEM 13-3C
(a) Feb. 1 Cash ……………………………………………… 24,000
Common Stock (3,000 X $5) ……… 15,000
Paid-in Capital in Excess of
Mar. 20 Treasury Stock—Common
(1,500 X $7) …………………………………. 10,500
Cash ……………………………………….. 10,500
June 14 Cash ……………………………………………… 36,000
Paid-in Capital from Common
Sept. 3 Patent ……………………………………………. 17,000
Common Stock (2,000 X $5) ……… 10,000
Paid-in Capital in Excess of
Retained Earnings …………………… 320,000
(b)
Preferred Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Balance
300,000
Common Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Balance
1,000,000
PROBLEM 13-3C (Continued)
Paid-in Capital in Excess of Par—Preferred Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Balance
20,000
Paid-in Capital in Excess of Stated Value—Common Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Paid-in Capital from Treasury Stock—Common
Date
Explanation
Ref.
Debit
Credit
Balance
Retained Earnings
Date
Explanation
Ref.
Debit
Credit
Balance
Treasury Stock—Common
Date
Explanation
Ref.
Debit
Credit
Balance
PROBLEM 13-3C (Continued)
(c) REYES CORPORATION
Stockholders’ equity
Paid-in capital
Capital stock
10% Preferred stock, $100
par value, noncumulative,
5,000 shares authorized,
3,000 shares issued and
outstanding …………………………. $ 300,000
Total capital stock …………….. 1,325,000
Additional paid-in capital
In excess of par—
preferred stock ……………………. $ 20,000
In excess of stated value—
Retained earnings ……………………………….. 808,000
Total paid-in capital and
retained earnings …………… 2,602,000
Less: Treasury stock (2,500 common
shares) ……………………………………… 17,500
PROBLEM 13-4C
(a) Feb. 1 Land ………………………………………………… 65,000
Preferred Stock (1,000 X $30) ……… 30,000
Paid-in Capital in Excess of
Par—Preferred Stock
($65,000 – $30,000) …………………. 35,000
Mar. 1 Cash (2,000 X $60) ……………………………. 120,000
(2,000 X $30) ………………………….. 60,000
July 1 Cash (20,000 X $5.80) ……………………….. 116,000
Common Stock (20,000 X $2) ……… 40,000
Paid-in Capital in Excess of
Par—Common Stock
($116,000 – $40,000) ……………….. 76,000
Dec. 1 Cash (10,000 X $6) ……………………………. 60,000
Common Stock (10,000 X $2) ……… 20,000
Paid-in Capital in Excess of
PROBLEM 13-4C (Continued)
(b)
Preferred Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Balance
120,000
Common Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Balance
140,000
Paid-in Capital in Excess of Par—Preferred Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Feb. 1
Balance
J2
35,000
60,000
95,000
Paid-in Capital in Excess of Par—Common Stock
Date
Explanation
Ref.
Debit
Credit
Balance
Jan. 1
Balance
700,000
PROBLEM 13-4C (Continued)
Retained Earnings
Date
Explanation
Ref.
Debit
Credit
Balance
(c) KWUN CORPORATION
Stockholders’ equity
Paid-in capital
Capital stock
Preferred stock,
$30 par value, 10%,
10,000 shares authorized,
Total capital stock …………… 434,000
Additional paid-in capital
In excess of par—
preferred ……………………………. $183,000
In excess of par—common …….. 816,000
PROBLEM 13-5C
HITE CORPORATION
Stockholders’ equity
Paid-in capital
Capital stock
8% Preferred stock, $100
par value, noncumulative,
4,000 shares issued
Additional paid-in capital
In excess of par—
preferred stock ……………………. $288,400
In excess of stated value—
Retained earnings ……………………………….. 876,000
Total paid-in capital and
retained earnings …………… 3,460,400
PROBLEM 13-6C
(a) (1) Land ………………………………………………….. 296,000
Preferred Stock (2,400 X $100) ……… 240,000
Paid-in Capital in Excess of Par—
Preferred Stock ………………………… 56,000
(3) Treasury Stock—Common
(1,500 X $24) …………………………………… 36,000
Cash …………………………………………… 36,000
PROBLEM 13-6C (Continued)
(b) MORITZ CORPORATION
Stockholders’ equity
Paid-in capital
Capital stock
8% Preferred stock, $100
par value, noncumulative,
Common stock, no par, $5
stated value, 2,000,000
shares authorized, 400,000
Additional paid-in capital
In excess of par—
preferred stock …………………. $ 56,000
In excess of stated value—
Retained earnings …………………………….. 560,000
Total paid-in capital and
retained earnings ………… 8,058,000