At the beginning of the year (January 1), Wild Horses Drilling has $12,000 of common stock outstanding and retained earnings of $6,200. During the year, Wild Horses reports net income of $6,500 and pays dividends of $1,200. In addition, Wild Horses issues additional common stock for $6,000. Required: Prepare the statement of stockholders' equity at the end of the year (December 31). Note: Negative amounts should be indicated by a minus sign.

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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At the beginning of the year (January 1), Wild Horses Drilling has $12,000 of common stock outstanding and retained earnings of $6,200. During the year, Wild Horses reports net income of $6,500 and pays dividends of $1,200. In addition, Wild Horses issues additional common stock for $6,000.

Required:

Prepare the statement of stockholders' equity at the end of the year (December 31).

Note: Negative amounts should be indicated by a minus sign.

 

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