contestada

As of December 31, 2021, Warner Corporation reported the following:
Cash dividends payable $20,000
Treasury stock 600,000
Paid-in capital—share repurchase 20,000
Common stock and other paid-in capital accounts 4,000,000
Retained earnings 3,000,000
What was shareholders' equity as of December 31, 2021?

Respuesta :

hyderali230

Answer:

$6,240,000

Explanation:

Stockholders Equity Includes the Add-in-capital par value, Add-in-capital excess value of Common and Preferred, Net income accumulated value and dividends.

Stockholders' equity

Common Stock and Paid-in-capital common      $4,000,000

Retained Earning                                                   $3,000,000

Treasury Stock                                                     ($600,000)

Paid-in capital—share repurchase                       $20,000  

Total stockholders' equity                                    $6,420,000

Treasury stock is the repurchased stock, which is a contra equity account. It need to be deducted from the equity

Otras preguntas