The stockholders' equity of Gebthermal Resources, Inc., at January 1, Year 5, is asfollows:17A-6Stockholders' equity:Common stock, $5 par value, 500,000 shares authorized, 240,000 issuedÞaid-in capital in excess of par: common stockTotal paid-in capital$1,200,0004,065,000$5,265,000Retained earnings.Tolał stockholders' equity.1,610,000$6,875,000During Yea , the following transactions relating to.stockholders' equity oc-curred:Jan. 15 Paid, a $2 per share cash dividend declared in December of Year 4. Thisdividend was properly recorded at the declařation date and was the onlydividend declared.during Year 4.June 10 Declared a 10% stock dividend to stockholders of record on June 30, to bedistributed on July 15. At June 10, the market price of the stock was $35per share...July 15 Distributed the stock dividend declared on June 10.Aug.4 Purchased 5,200 shares of treasury stock at a price of $30 per share.Oct. 15 Reissued 2,200 shares of treasury stock at a price of $34 per share:Dec. 10 Reissued 1,000 shares of treasury stock at a price of $28.50 per share.Dec. 15 Declared a cash dividend of $2 per share to be paid on January 15 of Year-6to stockholders of record on December 31.Dec. 31 The Income Summary account, showing net income of $890,000, was closedinto the Retained Earnings account.Instructionsa Prepare in general journal form the entries necessary to record these transactions.b Prepare the stockholders' equity section of the balance sheet at December 31,Year 5. Include a note following your stockholders' equity section indicating anyportion of retained earnings which is not available for dividends. Also include asupporting schedule showing your computation of the balance of retained earningsat year-end.c Comment on whether Geothermal Resources, Inc., increased or decreased thetotal amount of cash dividends declared during Year 5 in comparison with divi-dends declared in the preceding year.

Journal Entry The basic process of accounting process is to make the required journal entry which…

Answered: into the Retained Earnings account.…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Problem 1Q

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You are the accountant for Kamal Fabricating, Inc. and you oversee the preparation of financial statements for the year just ended 6/30/2020. You have the following information from the company's general ledger and other financial reports (all balances are end-of-year except for those noted otherwise): Cash $9,000 Common stock 5,000 Accounts receivable 7,000 Accounts payable 2,000 Cash dividends declared for the year 2,000 Additional paid-in capital 4,000 Prepaid insurance 5,000 Prior period adjustment, net of income taxes (2,000) Unearned revenue 4,000 Retained earnings, beginning of the year 6,000 Net income for the year 9,000 Prepare the company's Statement of Retained Earnings. Kamal Fabricating, Inc. Statement of Retained Earnings Year Ended June 30, 2020 Accounts payable Adjusted retained earnings, July 1, 2020 Cash Retained earnings, July 1, 2020 Retained earnings, June 30, 2020
Natalie and her friend Curtis Lesperance decide that they can benefit from joining Cookie Creations and Curtis's coffee shop. In this part of the problem, they want your help in preparing financial information following the first year of operations of their new business, Cookie & Coffee Creations. After establishing their company's fiscal year-end to be October 31, Natalie and Curtis begin operating Cookie & Coffee Creations Inc. on November 1, 2020. On that date, after the issuance of shares, the paid-in capital section of the company's balance sheet is as follows. Paid-in capital Preferred stock, $0.50 noncumulative, no par value, 10,000 shares authorized, 2,000 shares issued $10,000 Common stock, no par value, 100,000 shares authorized, 25,930 shares issued 25,930 Cookie & Coffee Creations then has the following selected transactions during its first year of operations. Dec. 1 Issues an additional 800 preferred shares to Natalie's brother for $4,000. Apr. 30 June 30 Oct. 31 31 31…
Financial statements from the end-of-period spreadsheetDemo Consulting is a consulting firm owned and operated by Jesse Flatt.The following end-ofperiod spreadsheet was prepared for the yearended August S1, 20Y9: Based on the preceding spreadsheet, prepare an income statement,statement of stockholders' equity, and balance sheet for DemoConsulting. During the year ended August 31, 2019, $15,000 of additionalcommon stock was issued.
Prepare a journal entry on June 30 for the payment of dividends of $16,000. If an amount box does not require an entry, leave it blank. June 30
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Complete this question by entering your answers in the tabs below. Req A Req B1 Req B2 Req B3 Req B4 Req C1 Req C2 Prepare a statement of changes in equity for the Year 2 accounting period. DAKOTA COMPANY Statement of Changes in Stockholders' Equity For the Year Ended December 31, Year 2 Beginning common stock Ending common stock Beginning retained earnings Ending retained earnings Total stockholders' equity
A summary of selected transactions in ledger accounts appears below for Alberto’s Plumbing Services for the current calendar year-end. Common Stock 1/1 5,755 Retained Earnings 12/31 8,592 12/31 22,807 Dividends 3/30 2,857 12/31 8,592 9/30 5,735 Net income for the period is a.37,154 b.8,592 c.28,562 d.22,807
Required: 2. After all of the transactions for the year ended December 31, 20Y5, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step income statement for the year ended December 31, 20Y5, concluding with earnings per share. In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were $100,000. Be sure to complete the statement heading. Refer to the account names in the instructions and the lists of Labels and Amount Descriptions for the exact wording of text entries. “Less” or “ Add will automatically appear if it is required. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount. For example: Net loss should be negative. Expenses should be positive. (Round earnings per share to the nearest cent.) b. Prepare a…
An analyst has collected the following information regarding a company in advance of its year-end earnings announcement (in millions): Estimated net income $ 200 Beginning retained earnings $ 1,400 Estimated distributions to owners $ 100 Th e analyst’s estimate of ending retained earnings (in millions) should be closest to: B . $1,500.
Required information [The following information applies to the questions displayed below] As of December 31 of the current year, Armani Company's records show the following. Cash Accounts receivable Supplies Equipment Accounts payable Common stock Retained earnings, December 31, prior year Retained earnings, December 31, current year Dividends Consulting revenue Rental revenue Salaries expense Rent expense Selling and administrative expenses Total assets Assets $ 11, 200 10, 200 Required: Prepare the current year-end balance sheet for Armani Company. ARMANI COMPANY Balance Sheet December 31 7,200 6,200 13,400 15,200 4,200 Total liabilities 6,200 14,200 35,400 24,400 21,200 13, 200 9,200 Liabilities Equity Total equity Total liabilities and equity
Prepare the statement of retained earnings for Armani Company for the current year ended December 31.

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