Use the following accounts and related balances to prepare the classified balance sheet of Fiesta, Inc., at September 30, 2014. Compute the book value per share of Fiesta’s common stock. Preferred dividends are $5,000 in arrears because Fiesta has not declared the current year dividend.
|
Common stock, $1 par, 50,000 shares authorized, 20,000 shares issued |
$20,000 |
Inventory |
$ 85,000 |
|
Salary payable |
3,000 |
Long term note payable |
70,000 |
|
Preferred stock, $2.50, no par, 10,000 shares authorized, 2,000 shares issued |
50,000 |
Property, plant, and equipment, net |
205,000 |
|
Accounts payable |
20,000 |
Accounts receivable, net |
25,000 |
|
Retained earnings |
80,000 |
Cash |
15,000 |
|
Paid in capital in excess of par—common |
75,000 |
Income tax payable |
12,000 |