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Using the attached balance sheet. Answers with Profit of year, or opening balance.
The company made a secondary offering of stock and raised an additional $180,000 which includes $150,000 of Paid-in Capital.
The company had already paid $15,000 in dividends before deciding on the offering.
The company now has cash to invest in a piece of raw land on which to build in the future. The investment takes place before year end.
The cost of the land is $400,000, the down payment is $40,000 and a note to the bank covers the rest.
Attachment:- Balance SHeet.rar
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