prepare the stockholders equity section of the balance sheet at a march 31 b june 30 581393

On January 1, 2012, Saa Corporation had the following stockholders’ equity accounts.

Common Stock (no par value, 90,000 shares issued and outstanding)

$1,400,000

Retained Earnings

500,000

During the year, the following transactions occurred.

Feb.

1

Declared a $1 cash dividend per share to stockholders of record on February 15, payable

March 1.

Mar.

1

Paid the dividend declared in February.

Apr.

1

Announced a 4 for 1 stock split. Prior to the split, the market price per share was $36.

July

1

Declared a 5% stock dividend to stockholders of record on July 15, distributable July 31.

On July 1, the market price of the stock was $13 per share.

31

Issued the shares for the stock dividend.

Dec.

1

Declared a $0.50 per share dividend to stockholders of record on December 15, payable

January 5, 2013.

31

Determined that net income for the year was $350,000.

Instructions

Prepare the stockholders’ equity section of the balance sheet at: (a) March 31, (b) June 30, (c) September 30, and (d) December 31, 2012.