(Solution) - Global Marine Company obtained a charter from the state in -(2025 Original AI-Free Solution)

Paper Details

Global Marine Company obtained a charter from the state in January 2009, which authorized 200,000 shares of common stock, $1 par value. During the first year, the company earned $475,000 and the following selected transactions occurred in the order given:
a. Sold 100,000 shares of the common stock in an initial public offering at $12 per share.
b. Repurchased 20,000 shares of the previously issued shares at $15 cash per share for treasury stock.
c. Resold 5,000 of the shares of the treasury stock at $18 cash per share.

Required:
Prepare the stockholders? equity section of the balance sheet at December 31, 2009.