A partial listing of accounts and ending balances for Carver, Inc., on December 31, 2016, is shown below:
Following is additional information relative to the above accounts:
· The preferred stock is 8% cumulative with par value of $50. For the preferred stock, 10,000 shares have been authorized, 6,000 shares are issued and outstanding, and 1,000 shares
have been subscribed at a price of $65 per share. Each share of preferred stock is convertible into four shares of common.
· Bonds payable mature on September 30, 2020. They have a stated interest rate of 10%, payable semiannually. The straight-line method is used to amortize the premium.
· Common stock has a par value of $4 per share. For the common stock, 60,000 shares have been authorized, 45,000 shares are issued and outstanding, and 5,000 shares have been subscribed at $32 per share.
Required:
Prepare the contributed capital section of the December 31, 2016 balance sheet for Carver, Inc. Include appropriate parenthetical notes for the common and preferred stock.

Question

A partial listing of accounts and ending balances for Carver, Inc., on December 31, 2016, is shown below: 
 Following is additional information relative to the above accounts:
· The preferred stock is 8% cumulative with par value of $50. For the preferred stock, 10,000 shares have been authorized, 6,000 shares are issued and outstanding, and 1,000 shares
have been subscribed at a price of $65 per share. Each share of preferred stock is convertible into four shares of common.
· Bonds payable mature on September 30, 2020. They have a stated interest rate of 10%, payable semiannually. The straight-line method is used to amortize the premium.
· Common stock has a par value of $4 per share. For the common stock, 60,000 shares have been authorized, 45,000 shares are issued and outstanding, and 5,000 shares have been subscribed at $32 per share.
Required:
Prepare the contributed capital section of the December 31, 2016 balance sheet for Carver, Inc. Include appropriate parenthetical notes for the common and preferred stock.

Quizplus · Accepted Answer

The Answer of A partial listing of accounts and ending balances for Carver, Inc., on December 31, 2016, is shown below: 
 Following is additional information relative to the above accounts:
· The preferred stock is 8% cumulative with par value of $50. For the preferred stock, 10,000 shares have been authorized, 6,000 shares are issued and outstanding, and 1,000 shares
have been subscribed at a price of $65 per share. Each share of preferred stock is convertible into four shares of common.
· Bonds payable mature on September 30, 2020. They have a stated interest rate of 10%, payable semiannually. The straight-line method is used to amortize the premium.
· Common stock has a par value of $4 per share. For the common stock, 60,000 shares have been authorized, 45,000 shares are issued and outstanding, and 5,000 shares have been subscribed at $32 per share.
Required:
Prepare the contributed capital section of the December 31, 2016 balance sheet for Carver, Inc. Include appropriate parenthetical notes for the common and preferred stock.

A Partial Listing of Accounts and Ending Balances for Carver