Use the information above to answer the following question.During the following year,Ferris Company earned net income of $75,000,issued 5,000 shares of $1 par common stock at an average market price of $44 per share,and declared dividends of $20,500.What amount was the total stockholder's equity reported on the balance sheet at the end of that year?
A) $512,000
B) $406,000
C) $297,000
D) $532,500

Question

Quizplus · Accepted Answer

The total stockholder's equity reported on the balance sheet at the end of that year is $512,000. This is calculated by adding the net income of $75,000 to the beginning stockholder's equity of $437,000, and then subtracting the dividends of $20,500.

Use the Information Above to Answer the Following Question