What is the total stockholders' equity based on the following data?Common Stock$360,000Excess of Issue Price over Par735,000Retained Earnings (deficit)
(56,000)
A) $1,095,000
B) $1,151,000
C) $1,039,000
D) $679,000

Question

What is the total stockholders' equity based on the following data?​Common Stock$360,000Excess of Issue Price over Par735,000Retained Earnings (deficit)
(56,000)​
A) $1,095,000
B) $1,151,000
C) $1,039,000
D) $679,000

Quizplus · Accepted Answer

The total stockholders' equity is calculated by adding the common stock, the excess of issue price over par, and the retained earnings (even if it's a deficit). So, $360,000 (Common Stock) + $735,000 (Excess of Issue Price over Par) - $56,000 (Retained Earnings deficit) = $1,039,000.

What Is the Total Stockholders' Equity Based on the Following