Refer to the following transactions. a. Issued 400 shares of $100 par value preferred stock at par. b. Issued 800 shares of $100 par value preferred stock in exchange for land that had an appraised value of $102,000. c. Issued 20,000 shares of $5 par value common stock for $12 per share. d. Purchased 3710 shares of common stock for the treasury at $13 per share. e. Sold 2300 shares of the treasury stock purchased in transactiond for $15 per share. t Declared a cash dividend of $1.85 per share on the preferred stock outstanding, to be paid early next year. g. Declared and issued an 5% stock dividend on the common stock when the market price per share of common stock was $16 Problem 8-30 (Algo) Part 1 Required: Show the effect (if any) of each of the above transactions on each financial statement category by selecting a plus (*) or minus (-) and the amount in the appropriate column. Do not show items that affect net income in the retained earnings column. You should assume that the transactions occurred in the listed chronological sequence and that no stock had been previously issued. (Hint Remember to consider appropriate effects of previous transactions) Transaction Cash Other Assets Liabilities Paid in Capital Retained Earnings Treasury Stock Net Income
Refer to the following transactions. a. Issued 400 shares of $100 par value preferred stock at par. b. Issued 800 shares of $100 par value preferred stock in exchange for land that had an appraised value of $102,000. c. Issued 20,000 shares of $5 par value common stock for $12 per share. d. Purchased 3710 shares of common stock for the treasury at $13 per share. e. Sold 2300 shares of the treasury stock purchased in transactiond for $15 per share. t Declared a cash dividend of $1.85 per share on the preferred stock outstanding, to be paid early next year. g. Declared and issued an 5% stock dividend on the common stock when the market price per share of common stock was $16 Problem 8-30 (Algo) Part 1 Required: Show the effect (if any) of each of the above transactions on each financial statement category by selecting a plus (*) or minus (-) and the amount in the appropriate column. Do not show items that affect net income in the retained earnings column. You should assume that the transactions occurred in the listed chronological sequence and that no stock had been previously issued. (Hint Remember to consider appropriate effects of previous transactions) Transaction Cash Other Assets Liabilities Paid in Capital Retained Earnings Treasury Stock Net Income
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Refer to the following transactions.
a. Issued 400 shares of $100 par value preferred stock at par.
b. Issued 800 shares of $100 par value preferred stock in exchange for land that had an appraised value of $102,000.
c. Issued 20,000 shares of $5 par value common stock for $12 per share.
d. Purchased 3,710 shares of common stock for the treasury at $13 per share.
e. Sold 2,300 shares of the treasury stock purchased in transactiond for $15 per share.
E. Declared a cash dividend of $1.85 per share on the preferred stock outstanding, to be paid early next year.
g. Declared and issued an 5% stock dividend on the common stock when the market price per share of common stock
was $16.
Problem 8-30 (Algo) Part 1
Required:
Show the effect (if any) of each of the above transactions on each financial statement category by selecting a plus (+) or minus (-) and
the amount in the appropriate column. Do not show items that affect net income in the retained eanings column. You should assume
that the transactions occurred in the isted chronological sequence and that no stock had been previously issued. (Hint Remember to
consider appropriate effects of previous transactions)
Transaction
Cash
Other Assets
Paid-in Capital Retained Earnings Treasury Stock
Liabilities
Net Income
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