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 $8.45 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 38 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 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.) 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. May 08 May 31 December 1 December 15 December 30
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 $8.45 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 38 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 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.) 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. May 08 May 31 December 1 December 15 December 30
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text: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 11,00e 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 $8.45 per share and a $26,480 (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 38 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
Assets
May 08
Revenues
May 31
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.)
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
Liabilities
December 1 December 15 December 30
Income Statement
Expenses
Contributed Capital
Net Income
Stockholders' Equity
Retained Earnings
Treasury Stock
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