FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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On January 1, 2008, the stockholders' equity section of Gibbons Corporation's balance sheet showed the following:
Common stock par 10, authorized 100, 000 shares, issued 10, 000 shares 100,000
Share Premium 50,000
Retained Earnings 160.000
During the year 2008, the accounts showed the following summarized transactions (assume they occurred in the order given):
(I) Issued a10% stock dividend, 1.000 shares issued when the market price was 12
(2) Purchased treasury stock (200 shares at 11)
(3) Declared and paid a cash dividend of 19,800
(4) Ne4 income, 30,000.

How much is the stockholder's equity?
How much is the retained earnings?

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