830,000 shares of no-par common stock were authorized; 150,000 shares were issued on January 1, 2019, at $17.00 per share. • 210,000 shares of $110 par value, 8.50% cumulative, preferred stock were authorized; 57,000 shares were issued on January 1, 2019, at $140 per share. • Net income for the years ended December 31, 2019 and 2020 was $1,380,000 and $2,570,000, respectively. • No dividends were declared or paid during 2019. However, on December 28, 2020, the board of directors of Homestead declared dividends of $1,750,000, payable on February 12, 2021, to holders of record as of January 19, 2021.

830,000 shares of no-par common stock were authorized; 150,000 shares were issued on January 1, 2019, at $17.00 per share. • 210,000 shares of $110 par value, 8.50% cumulative, preferred stock were authorized; 57,000 shares were issued on January 1, 2019, at $140 per share. • Net income for the years ended December 31, 2019 and 2020 was $1,380,000 and $2,570,000, respectively. • No dividends were declared or paid during 2019. However, on December 28, 2020, the board of directors of Homestead declared dividends of $1,750,000, payable on February 12, 2021, to holders of record as of January 19, 2021.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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