On January 1, 2011, Lurch, Inc. had the following stockholders' equity balances.
Common Stock (500,000 shares issued) $1,000,000
Paid-in Capital in Excess of Par Value 500,000
Common Stock Dividends Distributable 100,000
Retained Earnings 600,000
During 2011, the following transactions and events occurred.
1. Issued 50,000 shares of $2 par value common stock as a result of 10% stock dividend declared on December 15, 2010.
2. Issued 30,000 shares of common stock for cash at $5 per share.
3. Purchased 25,000 shares of common stock for the treasury at $6 per share.
4. Declared and paid a cash dividend of $111,000.
5. Sold 8,000 shares of treasury stock for cash at $6 per share.
6. Earned net income of $360,000.
Instructions
Prepare a stockholders' equity statement section of the balance sheet at December 31, 2011.