list the errors the following stockholders equity section of the balance sheet p

Question

list the errors the following stockholders equity section of the balance sheet prepared as of the end of the current year:
paid in capital:
preferred 2% stock,$80 par(125,000 shares authorized and issued $10,000,000
excess of issue price over par 500,000-10,500,000
retaining earnings $96,700,000
treasury stock(75,000 shares to cost)-1,755,000
dividends payable 430,000
total paid in capital $109,385,000
common stock $20 par (1,000,000 shares authorized, 825,000 shares issued - $17,655,000
organizing costs 300,000
total stockholders equity $127,340,000

Explanation / Answer

Stockholders' equity Working Paid in capital Capital stock Preferred Stock (2%, $80 par, 125,000 authorized and fully issued) $    10,000,000 Common stock ($20 par value, 1,000,000 authorized and 825,000 issued) $    16,500,000 825,000*$20 Total capital stock $    26,500,000 Additional paid in capital In excess of par value - preferred stock $     500,000 In excess of par value - common stock $ 1,155,000 $17,655,000 - $16,500,000 Total additional paid in capital $       1,655,000 Total paid in capital $    28,155,000 Retained earnings $    96,400,000 $96,700,000-$300,000 Total paid in capital and retained earnings $ 124,555,000 Less: Treasury stock (75,000 common shares) $    (1,755,000) Total stockholders' equity $ 122,800,000

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