Question : When Resisto Systems, Inc., was formed, the company was authorized : 7918

When Resisto Systems, Inc., was formed, the company was authorized to issue 5,000 shares of $100 par value, 8 percent cumulative preferred stock, and 100,000 shares of $2 stated value common stock.

  Half of the preferred stock was issued at a price of $104 per share, and 66,000 shares of the common stock were sold for $20 per share. At the end of the current year, Resisto has retained earnings of $382,000.

Prepare the stockholders equity section of the companys balance sheet at the end of the current year.

When Resisto Systems, Inc., was formed, the company was authorized to issue 5,000 shares of $100 par value, 8 percent cumulative preferred stock, and 100,000 shares of $2 stated value common stock.

  Half of the preferred stock was issued at a price of $104 per share, and 66,000 shares of the common stock were sold for $20 per share. At the end of the current year, Resisto has retained earnings of $382,000.