The following information is available from the accounting records of the First Corporation:

What is the amount of stockholders' equity for First Corporation?
A) $350,000
B) $430,000
C) $500,000
D) $520,000

Question

The following information is available from the accounting records of the First Corporation:

What is the amount of stockholders' equity for First Corporation?
A) $350,000 
B) $430,000 
C) $500,000 
D) $520,000

Quizplus · Accepted Answer

The stockholders' equity can be calculated by adding the common stock, additional paid-in capital, retained earnings, and treasury stock.

Common stock: $100,000 
Additional paid-in capital: $200,000 
Retained earnings: $200,000 
Treasury stock: $0

Total Stockholders' Equity: $100,000 + $200,000 + $200,000 + $0 = $500,000

The Following Information Is Available from the Accounting Records of the First