Kendrick Corporation was organized on January 2, 2011.During 2011, Kendrick issued 20,000 shares at $24 per share, purchased 3,000 treasury shares at $26 per share, and had net income of $300,000.What is the total amount of equity at December 31, 2011?

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The total amount of equity is calculated as follows: Initial equity from shares issued = 20,000 shares * $24 = $480,000. Treasury shares reduce equity by 3,000 shares * $26 = $78,000. Net income adds $300,000 to equity. Total equity = $480,000 - $78,000 + $300,000 = $702,000.

Kendrick Corporation Was Organized on January 2, 2011