On December 31,2017,Aire Dyne,Inc

Essay

On December 31,2017,Aire Dyne,Inc.reported common stock of $120,000,retained earnings of $60,000,and total stockholders' equity equal to $500,000.No unusual accounts appeared in the Stockholders' Equity section of its balance sheet.During the fiscal year ended December 31,2018,10,000 shares of stock were sold for $40,000,of which $10,000 represented additional paid-in capital.The company reported net income of $85,000 and declared and paid dividends of $50,000.
A) What is the par value of the stock?

B) What is the amount of the retained earnings at December 31,2018 ?

C) Prepare a statement of retained earnings for Aire Dyne, Inc. for the year ended December 31,2018, in good form.