Mady Entertainment Inc. showed the following equity account balances on the December 31, 2022, balance sheet:Common shares, unlimited authorized shares, 510,000 shares issued andoutstandingRetained earnings$3,570,0002,780,000During 2023, the following selected transactions occurred:Apr. 1 Repurchased and retired 142,000 common shares at $7.40 per share; this is the first retirement recorded by Mady.June 1 Declared a 2:1 share split to shareholders of record on June 12, distributable June 30.Dec. 1 Declared a 10% share dividend to shareholders of record on December 10, distributable December 20. The market prices of theshares on December 1, December 10, and December 20 were $4.40, $4.16, and $4.30, respectively.20 Distributed the share dividend declared December 1.31 Closed the credit balance of $756,000 in the Income Summary account.Required:a. Journalize the transactions above (assuming the retirements were the first ever recorded by Mady Entertainment Inc.). The companydoes not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in thefirst account field.)

A journal entry is a formal record of financial transactions in accounting. It is the first step in…

Answered: Mady Entertainment Inc. showed the…

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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7. How much is the Retained earnings, end - UNAPPROPRIATED? 8. How much is the total shareholders' equity at year-end?
Ivanhoe Rental Corporation had the following balances in its shareholders' equity accounts at January 1, 2024: Accumulated other comprehensive income (loss) $(24,000) Contributed surplus-reacquisition of common shares 550,000 Retained earnings 1,520,000 Common shares (36,000 shares) 828,000 Ivanhoe had the following transactions and events during 2024: Feb. 2 Repurchased 800 shares for $37,600. Apr. 17 Declared and paid cash dividends of $75,000. Oct. 29 Issued 2,100 shares for $93,000 cash. Dec. 31 Reported comprehensive income for the year of $451,000, which included other comprehensive income of $41,000. Prepare journal entries to record the transactions that took place during 2024. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem. List all debit entries before credit entries.)
1. How much is the Retained earnings, end - UNAPPROPRIATED? 2. How much is the total shareholders' equity at year-end? 3. What is the number of outstanding ordinary shares?
Shown below in T-account format are the changes affecting the retained earnings of Brenner-Jude Corporation during 2021. At January 1, 2021, the corporation had outstanding 107 million common shares, $1 par per share. Retained Earnings ($ in millions) 109 Beginning balance Retirement of 7 million common shares for $38 million 2 98 Net income for the year Declaration and payment of a $0.35 per share cash dividend 35 Declaration and distribution of a6% stock dividend 25 145 Ending balance Required:1. From the information provided by the account changes, you should be able to recreate the transactions that affected Brenner-Jude’s retained earnings during 2021. Prepare the journal entries that Brenner-Jude must have recorded during the year for these transactions. (Hint: In lieu of revenues and expenses, use an account titled “Income summary” to close net income or net loss.)2. Prepare a statement of retained earnings for Brenner-Jude for the…
Sunland Rental Corporation had the following balances in its shareholders' equity accounts at January 1, 2021: Accumulated other comprehensive income (loss) Contributed surplus-reacquisition of common shares Retained earnings Common shares (25,000 shares) Feb. 2 Sunland had the following transactions and events during 2021: Apr. 17 Oct. 29 $ (26,000) Dec. 31 559,000 1,600,000 625.000 Repurchased 1.200 shares for $57,600. Declared and paid cash dividends of $71,000. Issued 1,900 shares for $106,000 cash. Reported comprehensive income of $415,000, which included other comprehensive income of $31.000.
Pharoah Inc., which has a December 31 year end, had the following shareholders' equity account balances as at December 31, 2024: Common shares (1,350,000 shares issued and outstanding) $27,000,000 Retained earnings $5,456,000 On February 18, 2025, Pharoah Inc. repurchased and cancelled 302,000 common shares, paying $22.20 per share. Provide the journal entry to record the share repurchase transaction. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.) Account Titles and Explanation eTextbook and Media List of Accounts Save for Later Debit Credit Attempts: 0 of 3 used Submit Answer
The balance sheet of Chunn Industries included the following shareholders’ equity section at December 31, 2018 ($ in millions): Common stock ($1 par value, authorized 100M shares, issued and outstanding 90M shares) $ 90 Paid-in capital—excess of par 540 Retained earnings 280 Total shareholders’ equity $910 On January 5, 2019, Chunn purchased and retired 1 million shares for $9 million. Immediately after the purchase of the shares, the balances in the paid-in capital—excess of par and retained earnings accounts are:
Prepare the journal entry. Post to the T account .
Rahul
Pharoah Inc. began operations in January 2018 and reported the following results for each of its 3 years of operations. $36,000 net loss 2020 2018 $283.000 net loss 2019 At December 31, 2020, Pharoah Inc. capital accounts were as follows. 9% cumulative preferred stock, par value $100; authorized, issued. and outstanding 5,300 shares Common stock, par value $1.00; authorized 1,000,000 shares; issued and outstanding 758,000 shares $746,000 net income Book value per share $ $530,000 $758,000 Pharoah Inc. has never paid a cash or stock dividend. There has been no change in the capital accounts since Pharoah began operations. The state law permits dividends only from retained earnings. (a) Compute the book value of the common stock at December 31, 2020. (Round answers to 2 decimal places, e.g. $38.50.) Book value per share $ (b) Compute the book value of the common stock at December 31, 2020, assuming that the preferred stock has a liquidating value of $107 per share. (Round answers to 2…

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