(Learning Objective 3: Using a company’s statement of stockholders’ equity) Spring Water Company reported the following items on its statement of shareholders’ equity for the year ended December 31, 20X9 (in thousands):
|
$1 Par Common Stock |
Capital in Excess of Par Value |
Retained Earnings |
Accumulated Other Comprehensive Income |
Total Shareholders’ Equity |
|
|
Balance, Dec. 31, 20X8 |
$380 |
$1,590 |
$3,500 |
$9 |
$5,479 |
|
Net earnings |
1,020 |
||||
|
Unrealized gain on investments |
|||||
|
Issuance of stock |
110 |
560 |
1 |
||
|
Cash dividends |
|||||
|
Balance, Dec.31, 20X9 |
(220) |
Required
1. Determine the December 31, 20X9, balances in Spring Water’s shareholders’ equity accounts and total shareholders’ equity on this date.
2. Spring Water’s total liabilities on December 31, 20X9 are $5,000 thousand. What is
Spring Water’s debt ratio on this date?
3. Was there a profit or a loss for the year ended December 31, 20X9? How can you tell?
4. At what price per share did Spring Water issue common stock during 20X9?