Analyzing and Distributing Cash Dividends to Preferred and Common StocksMoser Company began business on March 1, 2018. At that time, it issued 20.000 shares of $60 par value, 7% cumulative preferred stock and 100.000 shares of $5 par value common stock. Through the end of 2020, there has been no change in the number of preferred and common shares outstanding.Required:a. Assume that Moser declared and paid cash dividends of $0 in 2018. $183.000 in 2019, and $200,000 in 2020. Compute the total cash dividends and the dividends per share paid to each class of stock in 2018, 2019, and 2020.Round the per share amount to two decimal places.TotalYear Class2018 Preferred $2018 Common S2019 Preferred $2019 Common s2020 Preferred S2020 Common $Year Class2018 Preferred $2018 Common $Per Share2019 Preferred s2019 Common S2020 Preferred $2020 Common S$55$b. Assume that Moser declared and paid cash dividends of $0 in 2018, $84,000 in 2019, and $150,000 in 2020. Compute the total cash dividends and the dividends per share paid to each class of stock in 2018, 2019, and 2020.Round the per share amount to two decimal places.TotalPer ShareSS$$55$S

Dividend Declaration in Cumulative Preference SharesOver ordinary stockholders, preference…

Answered: Analyzing and Distributing Cash…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Preferred shares, $4.55 non-cumulative, 52,000 shares authorized and issued* $ 3,328,000 Common shares, 87,000 shares authorized and issued* 1,392,000 *All shares were issued during 2018. 2. Calculate the dividends paid per share to both the preferred and the common shares in 2020 assuming preferred shares are cumulative. (Round the final answers to 2 decimal places.)
Recording Dividend Declaration Following are four separate dividend scenarios. a. On April 1, 2020, Meriter Corporation declared a cash dividend of $5.00 per share on its 44,800 outstanding shares of common stock ($1 par). The dividend is payable on April 21, 2020, to stockholders of record on April 14, 2020. b. Axe Co. has issued and outstanding 1,400 shares of $100 par, cumulative, 5% preferred stock and 28,000 shares of $5 par common stock. Dividends are in arrears for the past year (not including the current year). On December 15, 2020, the board of directors of Axe Co. declared dividends of $35,000 to be paid to shareholders at the end of its fiscal year. c. Siri Corp. holds 1,400 shares of Mobile Co. common stock, purchased at the beginning of the year for $30 a share (carrying value on February 1, 2020). On February 1, 2020, Siri Corp. declared a property dividend of 630 shares of Mobile Co. common stock when the shares were selling at $28 per share. d. Treck Corporation…
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Cash Dividends on Common Stock Berkwild Company is authorized to issue 1,000,000 shares of common stock. At the beginning of 2019, Berkwild had 348,800 issued and outstanding shares. On July 2, 2019, Berkwild repurchased 1,310 shares of common stock. On March 1 and September 1, Berkwild declared a cash dividend of $1.10 per share. The dividends were paid on April 1 and October 1. Required: 1. Prepare the entries to record the declaration of the two cash dividends. 2019 Mar. 1 fill in the blank 074ed9f9cfcefe3_2 fill in the blank 074ed9f9cfcefe3_4 (Record liability for dividends) Sept. 1 fill in the blank 074ed9f9cfcefe3_6 fill in the blank 074ed9f9cfcefe3_8 (Record liability for dividends) 2. Prepare the entries to record the payment of the two dividends. 2019 Apr. 1 fill in the blank ea873dfee06900c_2 fill in the blank ea873dfee06900c_4 (Record payment of dividends) Oct. 1 fill in the blank…
Allridge Corporation received cash from issuing 38,000 shares of common stock at $4 per share on January 1, 2018. The stock has a par value of $1 per share. Which is the correct journal entry to record this transaction? O A. Common Stock - $1 Par Value Paid-in Capital in Excess of Par - Common Cash O B. Cash Common Stock $1 Par Value Paid-in Capital in Excess of Par - Common OC. Cash Common Stock - $1 Par Value Paid-in Capital in Excess of Par $1 Par Value Paid-in Capital in Excess of Par Cash OD. Common Stock - ID Common Common 4 38,000 114,000 152,000 152,000 114,000 38,000 152,000 38,000 114,000 114,000 38,000 152,000
Capital stock of Barr Company includes: Common stock, $5 par, 650,000 shares outstanding $3,250,000 Preferred stock, 15% cumulative, $60 par, 10,000 shares outstanding 600,000 As of December 31, 2018, 2 years' dividends are in arrears on the preferred stock. During 2019, Barr plans to pay dividends that total $242,000. Required: If an answer is zero, enter "0". 1. Determine the amount of dividends that will be paid to Barr's common and preferred stockholders in 2019. Total dividend to preferred stockholders Total dividend to common stockholders 2. If Barr paid $365,000 of dividends, determine how much each group of stockholders would receive. Total dividend to preferred stockholders Total dividend to common stockholders
Recording Stock Issue Costs Stellar Inc. issued 48,000 shares of common stock, $0.01 par value, for $28 per share on March 28, 2020. Related to this transaction, Stellar incurred legal and administrative costs totaling $9,600, paid in cash. Required Prepare the journal entry on March 28, 2020, for the issuance of common shares. Note: List multiple debits (when applicable) in alphabetical order and list multiple credits (when applicable) in alphabetical order. Date Account Name Dr. Cr. March 28, 2020
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Identifying and Analyzing Financial Statement Effects of Cash Dividends On March 15, 2018, Bank of America issued 94,000 shares of 5.875% Fixed-to-Floating Rate Non-Cumulative Preferred Stock, Series FF for $2.35 billion. Dividends are payable semiannually on or about March 15 and September 15. a. Assume the stock was issued at face value. What is the face value of each Series FF share? $ 25,000 b. What will be the total dividend for the year ended December 31, 2018, assuming that the number of shares remains unchanged? Enter answer in millions. Round answer to the nearest million. $ 110 × million
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