. Warren Peace passed away, with his will leaving the bulk of all his worldly possessions to his friend Leo. The following transactions occurred with respect to Warren's estate. 1. Warren's estate inventory included 10,000 shares of Newberry Industries, selling at the time of Warren's death at $56 per share. There were no outstanding dividends at the time Warren died, but two weeks later, a $1.00 per share dividend was declared. 2. Warren only designated one item that was not to be left to Leo. Warren's family had a signed, first-edition copy of a classic novel that was valued and included in the estate inventory at $67,000, which Warren left to the local library. The book is located and delivered. 3. Funeral expenses are paid in the amount of $7,880. 4. A statement comes from the insurance company indicating there are multiple charges from Warren's final hospital stay that will not be covered and are the responsibility of the estate. These fees amount to $39,000 and were not known at the time the estate inventory was prepared. The charges are confirmed and will be paid when the separate bills arrive from the hospital and professionals who billed them to the insurance company. 5. A check is received from Newberry Industries for the dividends declared in the first transaction, above. Required: Prepare the journal entries for the listed transactions. Disregard the impact of estate and income taxes.
5. Warren Peace passed away, with his will leaving the bulk of all his worldly possessions to his friend Leo. The following transactions occurred with respect to Warren's estate.
1. Warren's estate inventory included 10,000 shares of Newberry Industries, selling at the time of Warren's death at $56 per share. There were no outstanding dividends at the time Warren died, but two weeks later, a $1.00 per share dividend was declared.
2. Warren only designated one item that was not to be left to Leo. Warren's family had a signed, first-edition copy of a classic novel that was valued and included in the estate inventory at $67,000, which Warren left to the local library. The book is located and delivered.
3. Funeral expenses are paid in the amount of $7,880.
4. A statement comes from the insurance company indicating there are multiple charges from Warren's final hospital stay that will not be covered and are the responsibility of the estate. These fees amount to $39,000 and were not known at the time the estate inventory was prepared. The charges are confirmed and will be paid when the separate bills arrive from the hospital and professionals who billed them to the insurance company.
5. A check is received from Newberry Industries for the dividends declared in the first transaction, above.
Required:
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