On Its December 31,2009,balance Sheet,Houston Corporation Reported Its Stockholders' Equity

Essay

On its December 31,2009,balance sheet,Houston Corporation reported its stockholders' equity as follows:
$\begin{array}{lr}\text { Common stock- } \$ 5 \text { par value, } 100,000 \text { shares authorzed, }\\ 50,000 \text { shares issued and outstanding } & \$ 250,000 \\\text { Additional paid-in capital } & 125,000 \\\text { Retained earnings } & \underline{ 400,000} \\\text { Total stockholders' equity } & \underline{ \$ 775,000}\end{array}$ During 2010,the following transactions occurred:
Reacquired 2,500 shares at $7 per share.
Sold 1,200 shares of treasury stock at $8 per share.
Sold 500 shares of treasury stock at $6 per share.
Net income for 2010 amounted to $80,000.No dividends were declared.
Prepare the stockholders' equity section of the balance sheet as it should appear on December 31,2010.