Prepair the stockholders'' equity section


The following accounts appear in the ledger of Milroy Inc. after the books are closed at December 31, 2010.

- Common Stock, $1 par value, 500,000 shares authorized, 400,000 shares issued $400,000
- Common Stock Dividends Distributed $60,000

- Paid-in Capital in Excess of Par Value - Common Stock $650,000
- Preferred Stock, $100 par value, 6%, 10,000 shares authorized; 2,000 shares issued $200,000
-Retained Earnings $ 920,000
- Treasury Stock (10,000 common shares) $ 85,000
- Paid in Capital in Excess of Par Value - Preferred Stock $ 310,000

INstructions: Prepair the stockholders' equity section at December 31,2010, assuming that retained earnings is restricted for plant expansion in the amount of $200,000.

 

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Accounting Basics: Prepair the stockholders'' equity section
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