Prepare the following two journal entries.PLEASE NOTE: You must enter the account names exactly as written above and allbe rounded to whole dollars using "$" and commas as needed (i.e. $12,345).• June 30 Record the declaration of a stock dividend:DRCRJuly 31 Record the distribution of the stock dividend:DRCR Nutritious Pet Food Company's board of directors declares a large stock dividend (50%) on June 30when the stock's market value per share is $30. At that time, there are 10,000 shares of $1 par valuecommon stock outstanding (none held in treasury).Treasury StockBuildingCommon StockAdditional Paid-in CapitalCashLandfrom Common StockCommon Stock DividendRetained EarningsCash Dividends PayableDistributableAdditional Paid-in CapitalPreferred StockEquipmentfrom Preferred StockPrepare the following two journal entries.PLEASE NOTE: You must enter the account names exactly as written above and all dollar amounts willbe rounded to whole dollars using "$" and commas as needed (i.e. $12,345).

In accounting, a journal entry is a record of a business transaction in a company's financial…

Answered: Nutritious Pet Food Company's board of…

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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Green Planet Corp. has (a) 5,600 shares of cumulative 11% preferred stock with a $2 par value and (b) 19,600 shares of common stock with a $0.01 par value. During its first two years of operation, Green Planet declared and paid the following total cash dividends. Compute the dividends paid each year to each of the two classes of stockholders: preferred and common. Year 1 total cash dividends $ 760 Year 2 total cash dividends $ 1,960
On June 30, Sharper Corporation's stockholders' equity section of its balance sheet appears as follows before any stock dividend or split. Sharper declares and immediately distributes a 50% stock dividend. Common stock-$10 par value, 88,000 shares issued and outstanding $ 880,000 Paid - in capital in excess of par value, common stock 390,000 Retained earnings 755,000 Total stockholders' equity $ 2,025,000 (1) Prepare the updated stockholders' equity section after the distribution is made. (2) Compute the number of shares outstanding after the distribution is made. Navigation: Use the Open Excel in New Tab button to launch this question. When finished in Excel, use the Save and Return to Assignment button in the lower right to return to Connect.
On June 30, Sharper Corporation’s stockholders' equity section of its balance sheet appears as follows before any stock dividend or split. Sharper declares and immediately distributes a 50% stock dividend. Common stock—$10 par value, 120,000 shares authorized, 88,000 shares issued and outstanding $ 880,000 Paid-in capital in excess of par value, common stock 390,000 Retained earnings 755,000 Total stockholders’ equity $ 2,025,000 Required: (1) Prepare the updated stockholders' equity section after the distribution is made.(2) Compute the number of shares outstanding after the distribution is made.
Assume that a company has the following information: Common Stock Information: # of shares issued and outstanding Par value per share 20,000 $9 Stockholders' Equity section of the Balance Sheet: Common Stock $180,000 Additional Paid in Capital Retained Earnings Total Stockholders' Equity $3,000,000 $4,820,000 $8,000,000 The company has the option of EITHER announcing a 3:1 stock split OR declaring a 200% stock dividend. Fill in the blanks below to show the stockholders' equity balances under each of these options. After After Current 3:1 200% Situation Stock Split Stock Dividend Common Stock Information: # of shares issued and outstanding 20,000 Par value per share $9 Stockholders' Equity section of the Balance Sheet: Common Stock $180,000 Additional Paid in Capital $3,000,000 Retained Earnings $4,820,000 Total Stockholders' Equity $8,000,000 II IIII
On July 1, Jones Corporation had the following capital structure: Common Stock, par $1; 8,000,000 authorized shares, 165,000 issued and outstanding $ 165,000 Additional Paid-in Capital 109,000 Retained Earnings 189,000 Treasury Stock None Required:Complete the following table based on two independent cases involving stock transactions: (Round "per share" answers to 2 decimal places.) Case 1: The board of directors declared and issued a 100 percent stock dividend when the stock price was $6 per share. Case 2: The board of directors voted a 2-for-1 stock split. The stock price prior to the split was $6 per share.
The stockholders' equity of Blue Corporation includes $300,000 of S1 par common stock and $500,000 par of 5% cumulative preferred stock. In its first year of operations, cash dividends of $20,000 were declared. In its second year of operations, cash dividends of $15,000 were declared. Now in its third year, cash dividends of $100,000 are declared. How much of the $100,000 year three dividends will preferred stockholders receive? Multiple Choice $25,000 $15,000 $40,000 $35,000
Jackson Enterprises has the following capital (equity) accounts: Common stock ($1 par; 200,000 shares outstanding) $ 200,000 Additional paid-in capital 50,000 Retained earnings 250,000 The board of directors has declared a 15 percent stock dividend on January 1 and a $0.25 cash dividend on March 1. What changes occur in the capital accounts after each transaction if the price of the stock is $4? Round the number of shares outstanding to the nearest whole number and the other answers to the nearest dollar. The impact of the 15 percent stock dividend:
On January 1, 2010, the accounts of Mac Corporation showed the following: Common stock, par SI, authorized 100.000 shares Capital in excess of par value ($2 per share) Retained carnings 60,000 140,000 During 2010, the following transactions occurred affecting stockholders' equity (in the order given) A B. C. D. Issued a 100° stock dividend when the market price was at $5 per share. Purchased treasury stock, 1.000 shares at a total cost of $8.000. Declared and paid cash dividends. SI5.000. Net income for 2010. S25.000
On June 30, Sharper Corporation’s stockholders' equity section of its balance sheet appears as follows before any stock dividend or split. Sharper declares and immediately distributes a 50% stock dividend. Common stock—$10 par value, 120,000 shares authorized, 88,000 shares issued and outstanding $ 880,000 Paid-in capital in excess of par value, common stock 390,000 Retained earnings 755,000 Total stockholders’ equity $ 2,025,000 Assume that instead of distributing a stock dividend, Sharper did a 3-for-1 stock split. Required:(1) Prepare the updated stockholders' equity section after the split.(2) Compute the number of shares outstanding after the split.
5. Nutritious Pet Food Company’s board of directors declares a large stock dividend (50%) on June 30 when the stock’s market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). Treasury Stock Building Common Stock Additional Paid-in Capital from Common Stock Cash Land Retained Earnings Common Stock Dividend Distributable Cash Dividends Payable Preferred Stock Equipment Additional Paid-in Capital from Preferred Stock Prepare the following two journal entries. PLEASE NOTE: You must enter the account names exactly as written above and all dollar amounts will be rounded to whole dollars using "$" and commas as needed (i.e. $12,345). June 30 - Record the declaration of a stock dividend: DR CR July 31 - Record the distribution of the stock dividend: DR CR
The company with the common equity accounts shown here has declared a 4-for-1 stock split. The firm's 75-cent per-share cash dividend on the new (postsplit) shares represents an increase of 10 percent over last year's dividend on the presplit stock. Common stock ($1 par value) Capital surplus Retained earnings Total owners' equity $ 225,000 535,000 2,968,500 $ 3,728,500 a. What is the new par value per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What was last year's dividend per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) a. New par value b. Dividend per share

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