On January 1, 2020, Kingbird, Inc. had 85,000 shares of $1 par value common stock issued and outstanding. During the year, the following transactions occurred: Mar. 1 Issued 96,000 shares of common stock for $630,000. June 1 Declared a cash dividend of $2.00per share to stockholders of record on June 15. June 30 Paid the $2.00 cash dividend. Dec. 1 Purchased 8,000 shares of common stock for the treasury for $20 per share. Dec. 15 Declared a cash dividend on outstanding shares of $2.50 per share to stockholders of record on December 31. Net income for 2020 amounted to $937,000, Prepare journal entries to record the above transactions. (Credit account titles are automatically indented when the amount is ontered Do not indent manuglly, Record journal entries in the order presented in the problem. If no entry is required, select

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On January 1, 2020, Kingbird, Inc. had 85,000 shares of $1 par value common stock issued and outstanding. During the year, the
following transactions occurred:
Mar. 1
Issued 96,000 shares of common stock for $630,000.
June 1 Declared a cash dividend of $2.00 per share to stockholders of record on June 15,
June 30
Paid the $2.00 cash dividend.
Dec. 1
Purchased 8,000 shares of common stock for the treasury for $20 per share.
Dec. 15
Declared a cash dividend on outstanding shares of $2.50 per share to stockholders of record on December 31.
Net income for 2020 amounted to $937,00.
Prepare journal entries to record the above transactions. (Credit account titles are automatically indented when the amount is
entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select
"No Entry" for the account titles and enter O for the amounts.)
Transcribed Image Text:On January 1, 2020, Kingbird, Inc. had 85,000 shares of $1 par value common stock issued and outstanding. During the year, the following transactions occurred: Mar. 1 Issued 96,000 shares of common stock for $630,000. June 1 Declared a cash dividend of $2.00 per share to stockholders of record on June 15, June 30 Paid the $2.00 cash dividend. Dec. 1 Purchased 8,000 shares of common stock for the treasury for $20 per share. Dec. 15 Declared a cash dividend on outstanding shares of $2.50 per share to stockholders of record on December 31. Net income for 2020 amounted to $937,00. Prepare journal entries to record the above transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
Date
Account Titles and Explanation
Debit
Credit
Mar. 1
Cash
June 1
Retained Earnings
Cash Dividends
June 30 :
Cash Dividends
Cash
Transcribed Image Text:Date Account Titles and Explanation Debit Credit Mar. 1 Cash June 1 Retained Earnings Cash Dividends June 30 : Cash Dividends Cash
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