Common stock-$15 par value, 150,000 shares authorized, 65,000 shares issued and outstanding $ 975,000 Paid-in capital in excess of par value, common stock 428,000 Retained earnings 554,000 Total stockholders' equity 1,957,000 On February 5, the directors declare a 2% stock dividend distributable on February 28 to the February 15 stockholders of record. The stock's market value is $36 per share on February 5 be the stock dividend. 2. Prepare the stockholders' equity section after the stock dividend is distributed. (Assume no o changes to equity.)
Q: Using the following accounts and balances, prepare the “Stockholders’ Equity” section of the balance…
A: Introduction: Balance sheet: All Assets and liabilities are shown in Balance sheet. It tells the net…
Q: Sacramento Company reports the following components of stockholders' equity on January 1. Common…
A: Hence, Journal entries are passed for the transaction occurred on different dates.
Q: Kohler Corporation reports the following components of stockholders' equity at December 31 of the…
A: The shareholders' equity tells about the capital and cash that belongs to the shareholders or owners…
Q: Common stock-$20 par value, 100,000 shares authorized, 45,000 shares issued and outstanding Paid-in…
A: Preparation of the journal entries to record each of these transactions. DateGeneral…
Q: On October 1, Cullumber Corporation’s stockholders’ equity is as follows. Common stock, $6 par…
A: The company raises the finance from various sources, one of them is common stock. The investor who…
Q: Stockholders’ Equity Transactions, Journal Entries, and T-Accounts The stockholders’ equity of…
A: First, part (b) is solved and with the help of it, part (a) will be solved in the next step.…
Q: Stockholders' Equity Section of Balance Sheet The following Stockholders’ Equity section of the…
A: Shareholders Equity :— Shareholders Equity is the Amount which is Invested by the Owner of the…
Q: A company with 90,695 authorized shares of $8 par common stock issued 32,813 shares at $14 per…
A: A small stock dividend is when a company issue less than 25% of outstanding shares as a stock…
Q: The stockholders' equity section of Thompson Corporation's balance sheet at December 31 is presented…
A: Number of common shares outstanding = Number of common shares issued - Number of treasury shares…
Q: Kohler Corporation reports the following components of stockholders' equity at December 31 of the…
A: Stockholder's Equity - Stockholder's Equity is the section in the balance sheet. It includes…
Q: Sold 1,900 of its treasury shares at $27 cash per share. Note: Enter debits before credits. Date Jul…
A: The journal entries are prepared to record the transactions on regular basis. The treasury stock…
Q: Common stock-$20 par value, 150,000 shares authorized, 58,000 shares issued and outstanding Paid-in…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Sold 3,100 of its treasury shares at $20 cash per share. Note: Enter debits before credits. Date Aug…
A: A journal entry is a record of a business's financial transactions kept in its accounting books. An…
Q: The stockholders' equity section of TVX Company on February 4 follows. Common stock-$10 par value,…
A: Journal Entry:A journal entry records a transaction of a business in the accounting system for an…
Q: Hamad Town Company had the following balances in the stockholders' equity accounts at Dec. 31,2a…
A: Treasury shares are those shares which are being repurchased or reacquired by the business. These…
Q: The stockholders’ equity of TVX Company at the beginning of the day on February 5 follows.…
A: We have to provide journal entries for dividend declaration and its distribution.
Q: The stockholders' equity section of Jun Co.'s balance sheet as of April 1 follows. On April 2, Jun…
A: (1) Increase in common stock = (200,000 Shares x 10%) x 5 par value = $100,000 (2) Decrease in…
Q: The stockholders’ equity of TVX Company at the beginning of the day on February 5 follows.…
A: Stock dividend is a method of capitalizing the retained earning. Under this, no profit is…
Q: Following is the stockholders' equity section as of June 30. Common stock-$20 par value, 200,000…
A: The dividend is declared to the shareholders from the retained earnings of the business. The stock…
Q: Green Corporation reports the following components of stockholders' equity on January 1. Common…
A: Stockholders’ equity indicates the statement forms part of the financial statement which reflects…
Q: The stockholders' equity section on the December 31 balance sheet of Chemfast Corporation reported…
A: Stocks represent ownership in a company issued by the company to obtain capital or pay for…
Q: Bonneau Corporation has 100,000 shares of $10 par common stock outstanding. On July 31, the Board of…
A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…
Q: The stockholders’ equity section of Jun Company’s balance sheet as of April 1 follows. On April 2,…
A: The stock dividend is declared and paid to the shareholders from the retained earnings of the…
Q: On January 1, Marigold Corp. had 54,800 shares of no-par common stock issued and outstanding. The…
A: The Dividend is payable on the total number of outstanding shares issued by the company Not on the…
Q: Stockholders' Equity: Transactions and Statement The stockholders' equity section of Night…
A: Treasury stock has usually debit balance. Because treasury stock is contra account of stockholders'…
Q: On October 10, the stockholders' equity section of Sherman Systems appears as follows. Common…
A: Stock Holders Equity:Stock holders equity means the total amount available to the stock…
Q: On October 10, the stockholders' equity section of Sherman Systems appears as follows. Common…
A: Treasury Stock: Treasury stock, sometimes referred to as treasury shares or reacquired stock, is…
Q: Stockholders’ Equity: Transactions and Balance Sheet Presentation Beaker Corporation was organized…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: On October 10, the stockholders’ equity section of Sherman Systems appears as follows. Common…
A: Shareholder's Equity - This statement includes Common Stock, Paid in Capital in Excess of Par,…
Q: Belray Company reports the following components of stockholders' equity on January 1. Common…
A: Stockholders' equity describes the assets that are still held by a company after all liabilities…
Q: dividend of $1 per sham dividend. Editional shares of comm dividend on outstandin
A: Answer :Journal entries : A Journal entry is used to record day by day transaction of business by…
Q: HM company has 1,000,000 shares of $1 par value capital stock outstanding on January 1. The…
A: (1) Journal entries for the given transactions are as follows:
Q: The stockholders' equity of TVX Company at the beginning of the day on February 5 follows. Common…
A: Stock dividend is a method of capitalizing the retained earning. Under this, no profit is…
Q: Stockholders' Equity: Transactions and Statement The stockholders' equity section of Night…
A: The journal entries are prepared to keep the record of day to day transactions of the business on…
Q: The stockholders' equity section of Cullumber Company's balance sheet at December 31 is presented…
A: The stockholders' equity section provides a summary of a company's equity, including the capital…
Q: The stockholders' equity section of Martino Inc. at the beginning of the current year appears below.…
A: Stockholder’s equity represents the amount of resources which are available to stockholders or…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 20Y8, were as follows: A. Issued 15,000 shares of 20 par common stock at 30, receiving cash. B. Issued 4,000 shares of 80 par preferred 5% stock at 100, receiving cash. C. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. D. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. E. Paid the cash dividends declared in (D). F. Purchased 8,000 shares of treasury common stock at 33 per share. G. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. H. Paid the cash dividends to the preferred stockholders. I. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (F). J. Recorded the payment of semiannual interest on the bonds issued in (C) and the amortization of the premium for six months. The amortization is determined using the straight-line method. Instructions 1. Journalize the selected transactions. 2. After all of the transactions for the year ended December 31, 20Y8, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data that follow were taken from the records of Equinox Products Inc. Income statement data: Advertising expense 150,000 Cost of goods sold 3,700,000 Delivery expense 30,000 Depreciation expenseoffice buildings and equipment 30,000 Depreciation expensestore buildings and equipment 100,000 Income tax expense 140,500 Interest expense 21,000 Interest revenue 30,000 Miscellaneous administrative expense 7,500 Miscellaneous selling expense 14,000 Office rent expense 50,000 Office salaries expense 170,000 Office supplies expense 10,000 Sales 5,313,000 Sales commissions 185,000 Sales salaries expense 385,000 Store supplies expense 21,000 Retained earnings and balance sheet data: Accounts payable 194,300 Accounts receivable 545,000 Accumulated depreciationoffice buildings and equipment 1,580,000 Accumulated depreciationstore buildings and equipment 4,126,000 Allowance for doubtful accounts 8,450 Bonds payable, 5%, due in 10 years 500,000 Cash 282,850 Common stock, 20 par (400,000 shares authorized; 100,000 shares issued, 94,600 outstanding) 2,000,000 Dividends: Cash dividends for common stock 155,120 Cash dividends for preferred stock 100,000 Goodwill 700,000 Income tax payable 44,000 Interest receivable 1,200 Inventory (December 31, 20Y8),at lower of cost (FIFO) or market 778,000 Office buildings and equipment 4,320,000 Paid-in capital from sale of treasury stock 13,000 Excess of issue price over parcommon stock 886,800 Excess of issue price over parpreferred stock 150,000 Preferred 5% stock, 80 par (30,000 shares authorized; 20,000 shares issued) 1,600,000 Premium on bonds payable 19,000 Prepaid expenses 27,400 Retained earnings, January 1, 20Y8 8,197,220 Store buildings and equipment 12,560,000 Treasury stock (5,400 shares of common stock at cost of 33 per share) 178,200 A. Prepare a multiple-step income statement for the year ended December 31, 20Y8. B. Prepare a retained earnings statement for the year ended December 31, 20Y8. C. Prepare a balance sheet in report form as of December 31, 20Y8.Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--, the beginning of its fiscal year, are shown below. (a)Received 20,000 for the balance due on subscriptions for preferred stock with a par value of 40,000 and issued the stock. (b)Purchased 10,000 shares of common treasury stock for 18 per share. (c)Received subscriptions for 10,000 shares of common stock at 19 per share, collecting down payments of 45,000. (d)Issued 15,000 shares of common stock in exchange for land with a fair market value of 290,000. (e)Sold 5,000 shares of common treasury stock for Si00,000. (f)Issued 10,000 shares of preferred stock at 11.50 per share, receiving cash. (g)Sold 3,000 shares of common treasury stock for 17 per share. REQUIRED 1. Prepare general journal entries for the transactions, identifying each transaction by letter. 2. Post the journal entries to appropriate T accounts. The cash account has a beginning balance of 300,000. 3. Prepare the stockholders equity section of the balance sheet as of December 31, 20--. Net income for the year was 825,000 and dividends of 400,000 were paid.Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--, the beginning of its fiscal year, are shown below. Preferred stock subscriptions receivable 50,000 Preferred stock, 10 par, 9% (200,000 shares authorized; 20,000 shares issued)200,000 Preferred stock subscribed (10,000 shares)100,000 Paid-in capital in excess of parpreferred stock40,000 Common stock, 10 par (100,000 shares authorized; 60,000 shares issued)600,000 Paid-in capital in excess of parcommon stock250,000 Retained earnings750,000 During 20--, Gonzales Company completed the following transactions affecting stockholders equity: (a) Received 20,000 for the balance due on subscriptions for 4,000 shares of preferred stock with a par value of 40,000 and issued the stock. (b) Purchased 10,000 shares of common treasury stock for 18 per share. (c) Received subscriptions for 10,000 shares of common stock at 19 per share, collecting down payments of 45,000. (d) Issued 15,000 shares of common stock in exchange for land with a fair market value of 290,000. (e) Sold 5,000 shares of common treasury stock for 100,000. (f) Issued 10,000 shares of preferred stock at 11.50 per share, receiving cash. (g) Sold 3,000 shares of common treasury stock for 17 per share. REQUIRED 1. Prepare general journal entries for the transactions, identifying each transaction by letter. 2. Post the journal entries to appropriate T accounts. The cash account has a beginning balance of 300,000. 3. Prepare the stockholders equity section of the balance sheet as of December 31, 20--. Net income for the year was 825,000 and dividends of 400,000 were paid.
- Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.Selected stock transactions The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year: During the year, the corporation completed a number of transactions affecting the stockholders equity. They are summarized as follows: a. Issued 200,000 shares of common stock at 12, receiving cash. b. Issued 8,000 shares of preferred 2% stock at 115. c. Purchased 175,000 shares of treasury common for 10 per share. d. Sold 110,000 shares of treasury common for 14 per share. e. Sold 30,000 shares of treasury common for 8 per share. f. Declared cash dividends of 1.25 per share on preferred stock and 0.08 per share on common stock. g. Paid the cash dividends. Instructions Journalize the entries to record the transactions. Identify each entry by letter.CASH DIVIDENDS, STOCK DIVIDEND, AND STOCK SPLIT During the year ended December 31, 20--, Baggio Company completed the following transactions: Apr. 15 Declared a semiannual dividend of 0.65 per share on preferred stock and 0.45 per share on common stock to shareholders of record on May 5, payable on May 10. Currently, 6,000 shares of 50 par preferred stock and 70,000 shares of 1 par common stock are outstanding. May 10 Paid the cash dividends. Oct. 15 Declared semiannual dividend of 0.65 per share on preferred stock and 0.45 per share on common stock to shareholders of record on November 5, payable on November 20. Nov. 20 Paid the cash dividends. 22 Declared a 10% stock dividend to shareholders of record on December 8, distributable on December 16. Market value of the common stock was estimated at 15 per share. Dec. 16 Issued certificates for common stock dividend. 20 Board of directors declared a two-for-one common stock split. REQUIRED Prepare journal entries for the transactions.
- Nutritious Pet Food Companys board of directors declares a cash dividend of $5,000 on June 30. At that time, there are 3,000 shares of $5 par value 5% preferred stock outstanding and 7,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the declaration of the dividend?Nutritious Pet Food Companys board of directors declares a cash dividend of $1.00 per common share on November 12. On this date, the company has issued 12,000 shares but 2,000 shares are held as treasury shares. What is the journal entry to record the declaration of this dividend?Outstanding Stock Lars Corporation shows the following information in the stockholders equity section of its balance sheet: The par value of common stock is S5, and the total balance in the Common Stock account is $225,000. There are 13,000 shares of treasury stock. Required: What is the number of shares outstanding? Use the following information for Exercises 10-58 and 10-59: Stahl Company was incorporated as a new business on January 1, 2019. The company is authorized to issue 600,000 shares of $2 par value common stock and 80,000 shares of 6%, S20 par value, cumulative preferred stock. On January 1, 2019, the company issued 75,000 shares of common stock for $15 per share and 5,000 shares of preferred stock for $25 per share. Net income for the year ended December 31, 2019, was $500,000.
- 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.Copper Corporation was organized in May. It is authorized to issue 50,000,000 shares of $200 par value 7% preferred stock. It is also authorized to issue 75,000,000 shares of $5 par value common stock. In its first year, the corporation has the following transactions: Journalize the transactions.Nutritious Pet Food Companys board of directors declares a large stock dividend (50%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the stock dividend distribution on July 31?