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Business, 06.05.2020 06:21 lesliegarza0805

Packard Company engaged in the following transactions during Year 1, its first year of operations: (Assume all transactions are cash transactions.)

1) Acquired $1,050 cash from the issue of common stock.
2) Borrowed $520 from a bank.
3) Earned $750 of revenues.
4) Pald expenses of $270.
5) Pald a $70 dividend.

During Year 2, Packard engaged in the following transactions: (Assume all transactions are cash transactions.)

1) Issued an additional $425 of common stock.
2) Repaid $290 of its debt to the bank.
3) Earned revenues of $850.
4) Incurred expenses of $400.
5) Pald dividends of $120.

What is the amount of total stockholders' equity that will be reported on Packard's balance sheet at the end of Year 1?

a. $290
b. $1.460
c. $1.530
d. $980

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