Daley Welding Corporation sells and services pipe welding equipment in Illinois. Thefollowing selected accounts appear in the ledger of Daley Welding Corporation on May 1,2012, the beginning of the current fiscal year:Preferred 2% Stock, $40 par (50,000 shares authorized,40,000 shares issued)Paid-In Capital in Excess of Par-Preferred Stock..Common Stock, $8 par (1,000,000 shares authorized,750,000 shares issued)Paid-In Capital in Excess of Par-Common Stock...Retained Earnings.......$ 1,600,000240,0006,000,0002,500,00043,175,000During the year, the corporation completed a number of transactions affecting thestockholders' equity. They are summarized as follows:a. Purchased 100,000 shares of treasury common for $1,500,000.b. Sold 60,000 shares of treasury common for $1,080,000.C. Issued 8,000 shares of preferred 2% stock at $50.d. Issued 150,000 shares of common stock at $21, receiving cash.e. Sold 25,000 shares of treasury common for $362,500.f. Deçlared cash dividends of $0.80 per share on preferred stock and $0.11 per shareon common stock.g. Paid the cash dividends.InstructionsJournalize the entries to record the transactions. Identify each entry by letter.

The dividends payable of $137,400 is computed by adding the multiplication of total common stocks,…

Answered: Daley Welding Corporation sells and…

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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The following shareholders' equity accounts and the related activity during the year are in the ledger of Kenton Corporation at December 31, 2020. Common shares (unlimited authorized): Balance, Jan. 1 (259,000 shares) $1,725,000 Balance, Dec. 31 (260,000 shares) 1,739,000 Shares issued (1,000 shares) 14,000 Preferred shares (21,000 authorized, $8, cumulative): Balance, Jan. 1 (14,000 shares) 739,000 Balance, Dec. 31 (17,000 shares) 882,000. Shares issued (3,000 shares) 143,000 Additional contributed capital: Balance, Jan. 1 Balance, Dec. 31 35,000 35,000 Accumulated other comprehensive income (loss): Balance, Jan. 1. Balance, Dec. 31 Other comprehensive income Retained earnings: Balance, Jan. 1 Balance, Dec. 31 Loss Cash dividends (32,300) 16,400 48,700 ? 1,121,000. (119,000) (147,000) 1) Prepare a statement of changes in equity for the year ended December 31, 2020. (If an amount reduces the account balance then enter with negative sign, e.g. -15,000 or in parenthesis, e.g. (15,000).)…
Instructions Journalize the selected transactions. Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, Year 1, 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 7,500 shares of Solstice Corp. at $40 per share plus a $150 brokerage commission. The investment is classified as an available-forsale investment. g. Purchased 8,000 shares of treasury common stock at $33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock…
Fleurage Inc. is a public enterprise whose shares are traded in the over the counter market. At December 31, 2020, Fleurage had 6,000,000 authorized shares of P10 par value common stock, of which 2,800,000 shares were issued and outstanding. The stockholders' equity accounts at December 31, 2020, had the following balances. . Transactions during 2021 and other information relating to the stockholders' equity accounts were as follows: . . On January 5, 2021, Fleurage issued at P56 per share, 125,000 shares of P50 par value, 9% cumulative convertible preferred stock. Each share of preferred stock is convertible, at the option of the holder, into two shares of common stock. Fleurage. had 600,000 authorized shares of preferred stock. The preferred stock has a liquidation value equal to 125% of its par value. . Share Capital-Ordinary Share Premium-Ordinary Retained earnings . On February 1, 2021, Fleurage reacquired 25,000 shares of its common stock for P16 per share, Fleurage uses the cost…
Dekalb Resorts has been in business since 1987.The stockholders' equity section of Dekalb's balance sheet on January 1, 2019 is as follows: Common Stock (Par value $25.00 per share; 50,000 shares authorized; 28,000 shares issued and outstanding) Additional Paid-in Capital on Common Stock Preferred Stock (Par value $5.00 per share; 5,000 shares authorized; 3,000 shares issued and outstanding) Additional Paid-in Capital on Preferred Stock Retained Earnings Total Stockholders' Equity Stockholders' Equity Section as of January 1, 2019 Date July 15, 2019 700,000 100,000 15,000 7,000 560.000 1,382,000 Required: 1. Prepare the journal entries for the following three transactions: On July 15, 2019, Dekalb issues 600 shares of its preferred stock, receiving $15.00 per share. Accounts debits credits On December 31, 2019, Dekalb declares annual dividends on preferred stock. Dividends are to be paid on the shares of preferred stock outstanding on December 31, 2019. Each share of preferred stock…
In 2021, Southwestern Corporation completed the treasury stock transactions listed below. February 2: Reacquired 71,000 shares at $12.10. March 17: Sold 21,000 shares at $14.05. May 17: Sold 26,000 shares at $8.05. Southwestern had issued 100,000 shares of its $1 par common stock for $10 several months ago.Required:Prepare the journal entries to record the above transactions, using the cost method.
The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year: Preferred 2% Stock, $100 par (100,000 shares authorized. 80,000 shares issued) b. Paid-In Capital in Excess of Par-Preferred Stock g. Common Stock. $5 par (5,000,000 shares authorized, 4,000,000 shares issued) Paid-In Capital in Excess of Par-Common Stock Retained Earnings Issued 220,000 shares of common stock at $14, receiving cash. $ 8,000,000 During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows: Paid the cash dividends. 440,000 INSTRUCTIONS 20,000,000 Issued 12,000 shares of preferred 2% stock at $110. c. Purchased 160,000 shares of treasury common for $10 per share. d. Sold 105,000 shares of treasury common for $16 per share. Sold 40,000 shares of treasury common for $8 per share. f. Declared cash dividends of $2.00 per share on preferred stock and $0.08 per share on common stock.…
Diamondback Welding & Fabrication Corporation sells and services pipe welding equipment in Illinois. The following selected accounts appear in the ledger of Diamondback Welding & Fabrication at the beginning of the current year: Preferred 2% Stock, $80 par (100,000 shares authorized, 60,000 shares issued) $5,200,000 Paid-In Capital in Excess of Par—Preferred Stock 230,000 Common Stock, $5 par (6,000,000 shares authorized, 3,150,000 shares issued) 15,250,000 Paid-In Capital in Excess of Par—Common Stock 1,400,000 Retained Earnings 52,480,000 During the year, the corporation completed a number of transactions affecting the stockholders’ equity. Journalize eachof the followingtransactionsand identify each entry by letter: A. Purchased 87,500 shares of treasury common for $9per share. B. Sold 55,000 shares of treasury common for $10per share. C. Issued 20,000 shares of preferred 3% stock at $84. D. Issued 400,000 shares of common stock at $12, receiving cash. E. Sold 18,000…
Blue Spruce Limited reported profit of $472,686 for its November 30, 2024, year end. Cash dividends of $63,700 on the common shares and $60,000 on the noncumulative preferred shares were declared and paid during the year. The following information is available regarding Blue Spruce's common shares: Dec. 1, 2023 Feb. 28, 2024 The opening number of common shares was 55,100. Sold 8,800 common shares for $220,000 cash. May 31, 2024 Nov. 1, 2024 Reacquired 4,400 common shares for $101,200 cash. Issued 13,200 common shares in exchange for land with a fair value of $280,000. (a) Question Part Score (b) Calculate the weighted average number of common shares for the year. Weighted average number of shares 2/2
The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current fiscal year: Preferred 1% Stock, $50 par (100,000 shares authorized, 83,900 shares issued)$4,195,000 Paid-In Capital in Excess of Par—Preferred Stock184,580 Common Stock, $3 par (5,000,000 shares authorized, 2,120,000 shares issued)6,360,000 Paid-In Capital in Excess of Par—Common Stock1,590,000 Retained Earnings31,692,000 During the year, the corporation completed a number of transactions affecting the stockholders’ equity. They are summarized as follows: Journalize the entries to record the transactions. Should equal 18 lines. Jan. 5 Issued 467,700 shares of common stock at $9, receiving cash. Feb. 10 Issued 10,700 shares of preferred 1% stock at $62. Mar. 19 Purchased 53,000 shares of treasury stock for $6 per share. May 16 Sold 20,000 shares of treasury stock for $8 per share. Aug. 25 Sold 5,200 shares of treasury stock for $5 per share. Dec. 6 Declared cash…
Zakaryan Corporation was organized on January 1, 2020. The corporation's governing documents authorized the issue of 100,000 shares of $1 par common stock. During 2020, Zakaryan had the following transactions relating to stockholders' equity: Issued 10,000 shares of common stock at $14 per share. Issued 20,000 shares of common stock at $16 per share. Reported a net income of $200,000. Paid dividends of $100,000. Purchased 3,000 shares of treasury stock at $20 (part of the 20,000 shares issued at $16). What is total shareholders' equity at the end of 2020? O $600,000. O $540,000. O $500,000. O $400,000. 4
Indigo Inc. uses a calendar year for financial reporting. The company is authorized to issue 9,160,000 shares of $12 par common stock. At no time has Indigo issued any potentially dilutive securities. Listed below is a summary of Indigo's common stock activities. 1. 2. 3. 4. (a) Number of common shares issued and outstanding at December 31, 2018 Shares issued as a result of a 12% stock dividend on September 30, 2019 Shares issued for cash on March 31, 2020 Number of common shares issued and outstanding at December 31, 2020 A 2-for-1 stock split of Indigo's common stock took place on March 31, 2021 2,130,000 255,600 shares. 1,840,000 4,225,600 Compute the weighted-average number of common shares used in computing earnings per common share for 2019 on the 2020 comparative income statement.
In 2021, Southwestern Corporation completed the treasury stock transactions listed below. February 2: Reacquired 74,000 shares at $12.40. March 17: Sold 24,000 shares at $14.20. May 17: Sold 29,000 shares at $8.20. Southwestern had issued 100,000 shares of its $1 par common stock for $10 several months ago.Required:Prepare the journal entries to record the above transactions, using the cost method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

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