Headlands Ltd, issues 8,600, $4 cumulative preferred shares at $66 each and 15,000 common shares at $30 each at the beginning of2019. Each preferred share is convertible into two common shares. The appropriate preferred share dividend was declared and paid in2019. During the years 2020 and 2021, the following transactions affected Headlands's shareholders' equity accounts:2020Paid $12.000 of annual dividends to preferred shareholders.Jan.102021Paid annual dividend to preferred shareholders and a $3,000 dividend to common shareholders.Jan.10Mar.1The preferred shares were converted into common shares.(a)Journalize each of the transactions. (Credit account titles are automatically indented when the amount is entered. Do notindent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)DateAccount Titles and ExplanationDebitCredit2020 DateAccount Titles and ExplanationDebitCredit2020Jan. 10(To record preferred share dividend.)DateAccount Titles and ExplanationDebitCredit2021Jan. 10(To record common and preferredshare dividends.)Mar. 1(To record conversion of shares.)

The dividend is paid to the shareholders from the retained earnings of the business. The preference…

Headlands Ltd. issues 8,600. $4 cumulative preferred shares at $66each and 15,000 common shares at $30 each at the beginning of 2019. Each preferred share is convertible into two common shares. The appropriate preferred share dividend was declared and paid in 2019. During the years 2020 and 2021, the following transactions affected Headlands's shareholders' equity accounts: 2020 Paid $12.000 of annual dividends to preferred shareholders. Jan, 10 2021 Paid annual dividend to preferred shareholders and a $3.000 dividend to common shareholders. Jan. 10 The preferred shares were converted into common shares. Mar. (a) (e)

Headlands Ltd. issues 8,600. $4 cumulative preferred shares at $66each and 15,000 common shares at $30 each at the beginning of 2019. Each preferred share is convertible into two common shares. The appropriate preferred share dividend was declared and paid in 2019. During the years 2020 and 2021, the following transactions affected Headlands's shareholders' equity accounts: 2020 Paid $12.000 of annual dividends to preferred shareholders. Jan, 10 2021 Paid annual dividend to preferred shareholders and a $3.000 dividend to common shareholders. Jan. 10 The preferred shares were converted into common shares. Mar. (a) (e)

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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