Karima Corporation was formed on January 2, 2014, with 100,000 authorized shares of USD100 par value ordinary shares. January 18 Sold 30,000 shares at USD150 per share. February 16 Issued 3,000 shares for legal services with a fair value of USD400,000. The shares on this date are trading at a market value or USD160 per share. March 19 Purchased 4,000 treasury shares at a cost of USD12 per share. December 9 Sold 20,000 shares at USD100 per share. Determine how many ordinary shares are issued and how many ordinary shares are outstanding. Please

Karima Corporation was formed on January 2, 2014, with 100,000 authorized shares of USD100 par value ordinary shares. January 18 Sold 30,000 shares at USD150 per share. February 16 Issued 3,000 shares for legal services with a fair value of USD400,000. The shares on this date are trading at a market value or USD160 per share. March 19 Purchased 4,000 treasury shares at a cost of USD12 per share. December 9 Sold 20,000 shares at USD100 per share. Determine how many ordinary shares are issued and how many ordinary shares are outstanding. Please

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Sunland Corporation was organized on January 1, 2022. It is authorized to issue 9,600 shares of 8%, $50 par value preference shares, and 501.500 shares of no-par ordinary shares witha stated value of $2 per share. The following share transactions were completed during the first year. Jan, 10 Issued 80,050 ordinary shares for cash at $6 per share. Mar, 1 Issued 5,930 preference shares for cash at $113 per share. Apr. 1 Issued 24,680 ordinary shares for land. The asking price of the land was $90,820; the fair value of the land was $80.050. May 1 Issued 80,050 ordinary shares for cash at $8 per share. Aug. 1 Issued 9,600 ordinary shares to attorneys in payment of their bill of $50,400 for services rendered in helping the company organize. Sept. 1 Issued 9,600 ordinary shares for cash at $10 per share. Nov. 1 Issued 1,100 preference shares for cash at $115 per share. Prepare the journal entries to record the above transactions. (Credit account titles are automatically indented when amount…
The following is from the 2024 annual report of Kaufman Chemicals, Incorporated: Statements of Comprehensive Income Net income Other comprehensive income: Change in net unrealized gains on AFS investments, net of tax of $31, ($19), and $21 in 2024, 2023, and 2022, respectively Other Total comprehensive income ($ in millions) Shareholders' equity: Common stock Additional paid-in capital Retained earnings Accumulated other comprehensive income Total shareholders' equity Accumulated other comprehensive income, 2023 Kaufman reports accumulated other comprehensive income in its balance sheet as a component of shareholders' equity as follows: Accumulated other comprehensive income, 2024 2024 $395 9,383 8,463 138 $ 18,379 ($ in millions) Years Ended December 31 2023 2024 2022 $818 $ 673 $988 44 (2) $ 1,030 2023 (27) (3) $788 $395 9,383 7,907 96 $ 17,781 Required: 3. From the information provided, determine how Kaufman calculated the $138 million accumulated other comprehensive income in 2024.…
BFAR Corp. was formed on June 1 with 100,000 authorized shares having a par value of P20. The following transactions occurred: • June 15: Issued 827 shares at P22 per share June 20: Received subscriptions for 1,162 shares at P23 per share with 25% down payment • June 25: Received subscriptions for 410 shares at P26 per share with 30% down payment June 30: Collected the June 20 subscription in full How much is the balance of the Share Capital account as of June 30? ● .
Mimi Corporation started business in 2007 by issuing 200,000 shares of P20 par common stock for P36 each. In 2012, 30,000 of these shares were purchased for P52 per share by Mimi Corporation and held as treasury stock. On June 15, 2013, these 30,000 shares were exchanged for a piece of property that had an assessed value of P810,000. Mimi's stock is actively traded and had a market price of P60 on June 15, 2013. The cost method is used to account for treasury stock. The amount of paid-in capital from treasury stock transactions resulting from the above events would be:
Bradley Corporation issued 10,000 shares of common stock on January 1, 2013. The stock has par value of $0.01 per share and was sold at $25 per share. The journal entry for this transaction would: a. Credit Cash $250,000 and debit Paid-in capital $250,000 b. Credit Cash $250,000, debit Common stock $100, and debit Paid-in capital $249,900 c. Debit Cash $250,000, credit Common stock $100, and credit Paid-in capital $249,900 d. Debit Cash $250,000, credit Paid-in capital $100, and credit Common stock $249,900
During its first year of operations, Eastern Data Links Corporation entered into the following transactions relating to shareholders’ equity. The articles of incorporation authorized the issue of 6 million common shares, $1 par per share, and 2 million preferred shares, $50 par per share. Feb. 12 Sold 3 million common shares, for $10 per share. 13 Issued 39,000 common shares to attorneys in exchange for legal services. 13 Sold 72,000 of its common shares and 6,000 preferred shares for a total of $1,035,000. Nov. 15 Issued 420,000 of its common shares in exchange for equipment for which the cash price was known to be $3,988,000. Required:Prepare the appropriate journal entries to record each transaction.
Hideo Co. was organized on January 1, 2021, with 300,000 shares of common stock with a $6 par value authorized. During 2021, Hideo had the following stock transactions: January 4 Issued 60,000 shares at $10 per share. March 8 Issued 20,000 shares at $11 per share. May 17 Purchased 7,500 shares at $12 per share. July 6 Issued 15,000 shares at $13 per share. August 27 Sold 5,000 treasury shares at $14 per share. If Hideo uses the cost method to record treasury stock transactions, the total amount of additional paid-in capital at December 31, 2021 is:
Sizzy Company was authorized to issue share capital of 100,000 shares with USD50 par value on January 1, 2010. Eighty thousand shares were sold during the first year at USD50 per share and 4,000 shares were later reacquired as treasury at USD65 per share. A share split proper of 5 for 1 was approved on December 31, 2010. On January 31, 2011, a 10% stock dividend was declared and issued and on April 1, 2011, the treasury shares were reissued at USD68 per share. What is the number of shares issued and outstanding on April 1, 2011?
Knapp Industries began business on January 1, 2018 by issuing all of its 1,000,000 authorized shares of its $1 par value common stock for $40 per share. On June 30, Knapp declared a cash dividend of $2 per share to stockholders of record on July 31. Knapp paid the cash dividend on August 30. On November 1, Knapp reacquired 200,000 of its own shares of stock for $50 per share. On December 22, Knapp resold 100,000 of these shares for $60 per share. Required: Prepare all of the necessary journal entries to record the events described above. Prepare the stockholders' equity section of the balance sheet as of December 31, 2018 assuming that the net income for the year was $6,000,000.
On January 1, Vermont Corporation had 36,300 shares of $9 par common stock issued and outstanding. All 36,300 shares had been issued in a prior period at $22 per share. On February 1, Vermont purchased 1,000 shares of treasury stock for $27 per share and later sold the treasury shares for $21 per share on March 1. The entry to journalize the purchase of the treasury shares on February 1 would include a O a. debit to a loss account for $5,000. b. credit to Treasury Stock for $27,000. c. credit to a gain account for $5,000. d. debit to Treasury Stock for $27,000.
Julien Company had $800,000 net income in 2021. On 1 January 2021, there were 400,000 ordinary shares outstanding. On 1 April, 10,000 shares were issued and on 1 May, the company issued 5% bonus issue on ordinary shares. 30,000 treasury shares were repurchased from the open market at $35 on 1 September. On 1 March 2021, the company issued 200,000 9%, noncumulative and nonconvertible preference shares (at $1 par value). Julien issued $1,000,000 of 8% convertible bonds at face value during 2020. Each $1,000 bond is convertible into 50 ordinary shares. Top executives were granted 100,000 options to buy ordinary shares at $30 if the net income is over $300,000. The beginning and ending market price of the ordinary shares was $46 and $54 respectively during the year 2021. At the financial year-end, dividends on preference shares are declared and paid. In addition, the company declared and paid $5 cash dividends to all ordinary shareholders. Assume the tax rate for 2021 is 40%. Required:…
During its first year of operations, Eastern Data Links Corporation entered into the following transactions relating to shareholders' equity. The articles of incorporation authorized the issue of 9 million common shares, $1 par per share, and 2 million preferred shares, $50 par per share. Feb. 12 Sold 4 million common shares, for $10 per share. 13 Issued 44,000 common shares to attorneys in exchange for legal services. 13 Sold 80,000 of its common shares and 3,000 preferred shares for a total of $980,000. Nov. 15 Issued 365,000 of its common shares in exchange for equipment for which the cash price was known to be $3,768,000. Required: Prepare the appropriate journal entries to record each transaction. (If no entry is required for a particular transaction, select "No journal entry required" in the first account field. Enter your answers in whole dollars.)