4: The board of directors of Energy Manufacturing is in the process of declaring a cash dividendof $2 per share. Energy Mfg. is authorized to issue 200,000 shares of common stock. Thecompany has issued 125,000 shares to date, and has reacquired 15,000 shares, which are held intreasury.a. How many shares of common stock are eligible to receive a dividend?b. Assume that the board declares the dividend. Prepare the appropriate journal entries onthe (1) date of declaration, (2) date of record, and (3) date of payment.

Dividends are paid in two types Stock dividends and Cash dividends. Stock dividend means a payment…

Answered: 4: The board of directors of Energy…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 4PB: MacKenzie Mining Corporation is authorized to issue 50,000 shares of $500 par value 7% preferred...

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Silva Company is authorized to issue 5,000,000 shares of $2 par value common stock. In its IPO, the company has the following transaction: Mar. 1, issued 500,000 shares of stock at $15.75 per share for cash to investors. Journalize this transaction.
Comprehensive Young Corporation has been operating successfully for several years. It is authorized to issue 24,000 shares of no-par common stock and 6,000 shares of 8%, 100 par preferred stock. The Contributed Capital section of its January 1, 2019, balance sheet is as follows: Part a. A shareholder has raised the following questions: 1. What is the legal capital of the corporation? 2. At what average price per share has the preferred stock been issued? 3. How many shares of common stock have been issued (the common stock has been issued at an average price of 23 per share)? Part b. The company engaged in the following transactions in 2019: Required: 1. Answer the questions in Part a. 2. Prepare journal entries to record the transactions in Part b. 3. Prepare the Contributed Capital section of Youngs December 31, 2016, balance sheet.
MacKenzie Mining Corporation is authorized to issue 50,000 shares of $500 par value 7% preferred stock. It is also authorized to issue 5,000,000 shares of $3 par value common stock. In its first year, the corporation has the following transactions: Journalize the transactions.
The charter of a corporation provides for the issuance of 95,735 shares of common stock. Assume that 43,241 shares were originally issued and 3,458 were subsequently reacquired. What is the amount of cash dividends to be paid if a $1 per share dividend is declared? Select the correct answer. a-$43,241 b-$95,735 c-$3,458 d-$39,783
3. On April 30, 2021, the board of directors of DDT Corporation declared a PS cash dividend per share representing P3 per share as distribution of income, and P2 per share as liquidating dividends. As of this date, the corporation has 10,000 shares issued and outstanding. Requirement: Give the journal entries for the foregoing transactions.
The charter of a corporation provides for the issuance of 114,615 shares of common stock. Assume that 41,097 shares were originally issued and 3,520 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2 per share dividend is declared? a.$75,154 b.$3,520 c.$114,615 d.$41,097
The charter of a corporation provides for the issuance of 108,244 shares of common stock. Assume that 44,779 shares were originally issued and 4,084 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared? a. $4,084 b. $44,779 c. $108,244 d. $81,390
The charter of a corporation provides for the issuance of 115,494 shares of common stock. Assume that 43,963 shares were originally issued and 4,399 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared? Oa. $115,494 Ob. $79,128 Oc. $4,399 Od. $43,963
Splish Company's ledger shows the following balances on December 31, 2025. 7% Preferred stock-$10 par value, outstanding 21,200 shares Common stock-$100 par value, outstanding 32,100 shares Retained earnings Assuming that the directors decide to declare total dividends in the amount of $396,000, determine how much each class of stock should receive under each of the conditions stated below. One year's dividends are in arrears on the preferred stock. a. The preferred stock is cumulative and fully participating. (Round the rate of participation to 6 decimal places, e.g.0.014278. Round answers to O decimal places, e.g. 38,487.) $ $ Preferred b. The preferred stock is noncumulative and nonparticipating. (Round answers to O decimal places, e.g. 38,487.) $ Preferred $ Preferred Common c. The preferred stock is noncumulative and is participating in distributions in excess of a 9% dividend rate on the common stock. (Round the rate of participation to 6 decimal places, e.g.0.014278. Round…
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Answer all questions. Ch.10-1
B. The League Corporation is authorized to issue 100,000 shares of Ordinary Share Capital with a par value of P 20. The following transactions took place in relation to the share capital: May 2 Issued 25,000 shares for cash at par value. 5 Issued 5,000 shares to Atty. Fernan for services in organizing the corporation. The value of the services was P 120,000. 18 Issued 4,000 shares to corporate promoters. Each ordinary share is selling at P 30 on this date. 25 Issued 20,000 shares in exchange for Land valued at P 600,000. 30 Issued for cash 10,000 shares at P 23 per share Prepare journal entries to record the above transactions including authorized capital dated May 2, using the memorandum method.

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