Prepare the stockholders' equity section from transaction data.
Shown below is the stockholders' equity section of Farrell Corporation's balance sheet at December 31, 2009:

In 2010, the following events occurred:
Farrell Corporation issued 1,000 shares of $3 par common stock in exchange for land. Although several real estate appraisers disagree on the value of the land, Farrell's stock is currently selling on a stock exchange for $32 per share.
Farrell Corporation issued 3,000 shares of 5% cumulative preferred stock, $100 par value, for $108 per share.
The board of directors declared a dividend of $1 per share on the common stock.
Farrell's net income for 2010 is $375,000.
Instructions: Complete in good form the stockholders' equity section of a balance sheet prepared for Farrell Corporation at December 31, 2010:

Question

Prepare the stockholders' equity section from transaction data.
Shown below is the stockholders' equity section of Farrell Corporation's balance sheet at December 31, 2009:

In 2010, the following events occurred:
Farrell Corporation issued 1,000 shares of $3 par common stock in exchange for land. Although several real estate appraisers disagree on the value of the land, Farrell's stock is currently selling on a stock exchange for $32 per share.
Farrell Corporation issued 3,000 shares of 5% cumulative preferred stock, $100 par value, for $108 per share.
The board of directors declared a dividend of $1 per share on the common stock.
Farrell's net income for 2010 is $375,000.
Instructions: Complete in good form the stockholders' equity section of a balance sheet prepared for Farrell Corporation at December 31, 2010:

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The Answer of Prepare the stockholders' equity section from transaction data.
Shown below is the stockholders' equity section of Farrell Corporation's balance sheet at December 31, 2009:

In 2010, the following events occurred:
Farrell Corporation issued 1,000 shares of $3 par common stock in exchange for land. Although several real estate appraisers disagree on the value of the land, Farrell's stock is currently selling on a stock exchange for $32 per share.
Farrell Corporation issued 3,000 shares of 5% cumulative preferred stock, $100 par value, for $108 per share.
The board of directors declared a dividend of $1 per share on the common stock.
Farrell's net income for 2010 is $375,000.
Instructions: Complete in good form the stockholders' equity section of a balance sheet prepared for Farrell Corporation at December 31, 2010:

Prepare the Stockholders' Equity Section from Transaction Data