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Kinkaid Co. is incorporated at the beginning of this year and engages in a number of transactions. The following journal entries impacted its stockholders equity during its first year of operations.
Required:
1. Explain the transaction(s) underlying each journal entry (a) through (d). 2. How many shares of common stock are outstanding at year end? 3. What is the amount of minimum legal capital (based on par value) at year end? 4. What is the total paid in capital at year end? 5. What is the book value per share of the common stock at year end if total paid in capital plus retained earnings equals $695,000?
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