Little League Apparel has two classes of stock authorized: 6%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 2024, its first year of operations: January 2 Issue 110,000 shares of common stock for $54 per share. February 14 Issue 44,000 shares of preferred stock for $12 per share. May 8 May 31 Purchase 11,000 shares of its own common stock for $44 per share. Resell 5,500 shares of treasury stock for $49 per share. December 1 Declare a cash dividend on its common stock of $0.45 per share and a $26,400 (6% of par value) cash dividend on its preferred stock payable to all stockholders of record on December 15. The dividend is payable on December 30. (Hint: Dividends are not paid on treasury stock.) December 30 Pay the cash dividends declared on December 1. Required: Determine the financial statement effects of each of these transactions 2024. Complete this question by entering your answers in the tabs below. January 02 February 14 May 08 May 31 December 1 December 15 December 30 Issue 110,000 shares of common stock for $54 per share. Note: Amounts to be deducted should be indicated by a minus sign. If there are no effects for a particular transaction/event, select "There are no financial statement effects" in the first account field. Balance Sheet Stockholders' Equity Assets Liabilities Contributed Capital Retained Earnings Treasury Stock Cash 5,940,000 Common Stock Additional Paid-in Capital Income Statement Revenues Expenses Net Income < January 02 February 14 >

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter13: Corporations: Organization, Stock Transactions, And Dividends

Section: Chapter Questions

Problem 3PA: The following selected accounts appear in the ledger of EJ Construction Inc. at the beginning of the...

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January 2	Issue 110,000 shares of common stock for $54 per share.
February 14	Issue 44,000 shares of preferred stock for $12 per share.
May 8	Purchase 11,000 shares of its own common stock for $44 per share.
May 31	Resell 5,500 shares of treasury stock for $49 per share.
December 1	Declare a cash dividend on its common stock of $0.45 per share and a $26,400 (6% of par value) cash dividend on its preferred stock payable to all stockholders of record on December 15. The dividend is payable on December 30. (Hint: Dividends are not paid on treasury stock.)
December 30	Pay the cash dividends declared on December 1.

Required:

Determine the financial statement effects of each of these transactions 2024.

Note: Amounts to be deducted should be indicated by a minus sign. If there are no effects for a particular transaction/event, select "There are no financial statement effects" in the first account field.