Question & Answer: E15-17B (LO4) (Stockholders' Equity Section) Capital Northeast Corporation's post-closing trial balance at December 31, 2017, was as fol…..

E15-17B (LO4) (Stockholders’ Equity Section) Capital Northeast Corporation’s post-closing trial balance at December 31, 2017, was as follows. CAPITAL NORTHEAST CORPORATION POST-CLOSING TRIAL BALANCE DECEMBER 31, 201 Accoun Accounts receivable Accumulated depreciation equipment Additional paid-in capital common ts payable $ 668,000 $ 605,000 450,000 In excess of par value 1,900,000 35,000 20,000 From sale of treasury stock Allowance for doubtful accounts Equipment Cash Common stock ($1 par value) Dividends payable on common stock Inventories Investments Preferred stock ($100 par value) Prepaid insurance Retained earnings Treasury s 6,800,000 260,000 500,000 50,000 cash 750,000 2,500,000 65,000 125,000 $11,105,000 6,500,000 at cost $11,105,000 At December 31, 2017, Capital Northeast had the following number of common and preferred shares. Authorized 2,500,000 500,000 Outstanding 490,000 Common Preferred 1,000,000 65,000 65,000 The dividends on preferred stock are 6% cumulative. In addition, the preferred stock has a preference in liquidation of $102 per share. Instructions Prepare the stockholders’ equity section of Capital Northeast’s balance sheet at December 31, 2017 (AICPA adapted)