Mady Entertainment Inc. showed the following equity account balances on the December 31, 2022, balance sheet Common shares, unlimited authorized shares, 580,000 shares issued and outstanding Retained earnings $3,480,000 2,430,000 During 2023, the following selected transactions occurred: Apr. 1 Repurchased and retired 156,000 common shares at $6.00 per share; this is the first retirement recorded by Pady. June 1 Declared a 211 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 the shares on December 1, December 10, and December 20 were $3.00, $3.56, and $3.70, respectively. 20 Distributed the share dividend declared December 1. 31 Closed the credit balance of $756,000 in the Income Summary account. Required: e. Journalize the transactions above (assuming the retirements were the first ever recorded by Mady Entertainment Inc.). The company does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Mady Entertainment Inc. showed the following equity account balances on the December 31, 2022, balance sheet Common shares, unlimited authorized shares, 580,000 shares issued and outstanding Retained earnings $3,480,000 2,430,000 During 2023, the following selected transactions occurred: Apr. 1 Repurchased and retired 156,000 common shares at $6.00 per share; this is the first retirement recorded by Pady. June 1 Declared a 211 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 the shares on December 1, December 10, and December 20 were $3.00, $3.56, and $3.70, respectively. 20 Distributed the share dividend declared December 1. 31 Closed the credit balance of $756,000 in the Income Summary account. Required: e. Journalize the transactions above (assuming the retirements were the first ever recorded by Mady Entertainment Inc.). The company does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please don't give image format
Transcribed Image Text:Date
April 01, 2023
June 01, 2023
December 01, 2023
December 20, 2023
December 31, 2023
Note Disclosure
Amount
A
Transcribed Image Text:Mady Entertainment Inc, showed the following equity account balances on the December 31, 2022, balance sheet
Common shares, unlimited authorized shares, 580,000 shares issued and
outstanding
Retained earnings
$3,480,000
2,430,000
During 2023, the following selected transactions occurred:
Apr. 1 Repurchased and retired 156,000 common shares at $6.00 per share; this is the first retirement recorded by Hady,
June 1 Declared a 211 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 the
shares on December 1, December 10, and December 20 were $3.00, $3.56, and $3.70, 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 company
does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the
first account field.)
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