Required informationProblem 10-6A (Algo) Record equity transactions and prepare the stockholders' equity section (LO10-2,10-3, 10-4, 10-5, 10-7)[The following Information applies to the questions displayed below.]Golf Apparel has two classes of stock authorized: 4%, $10 per preferred, and $1 par value common. The followingtransactions affect stockholders' equity during 2024, its first year of operations:January 2 Issue 120,000 shares of common stock for $65 per share.February 14 Issue 55,000 shares of preferred stock for $13 per share.Hay BaPurchase 12,000 shares of its own common stock for $55 per share.May 31Resell 6,000 shares of treasury stock for $60 per share.December 1 Declare a cash dividend on its common stock of $0.75 per ahare and a $22,000 (4% of par value)cash dividend on its preferred stock payable to all stockholders of record on December 15. Thedividend is payable on December 30. (Hint: Dividends are not paid on treasury stock.)December 30 Pay the cash dividends declared on December 1.Problem 10-6A (Algo) Part 1Required:1. Record each of these transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the firstaccount field.)View transaction listJournal entry worksheet1Note: Enter debits before credits.Record the issuance of 120,000 shares of common stock for $65 per share.DateJanuary 02, 2024Record entryJournal entry worksheet< 1 23Note: Enter debits before credits.DateMay 31, 2024Record entryGeneral JournalClear entry64576Record the resale of 6,000 shares of treasury stock for $60 per share.Clear entryGeneral Journal7Debit CreditView general JournalDebit>CreditView general Journal>Journal entry worksheet< 1 2Record the issuance of 55,000 shares of preferred stock for $13 per share.Note: Enter debits before credits.DateFebruary 14, 2024Record entry3 4 5 6 7Journal entry worksheet1 2 3Note: Enter debits before credits.DateMay 08, 2024Record entryGeneral JournalClear entryDateDecember 01, 2024Record entry4 5 6Record the purchase of 12,000 shares of its own common stock for $55 pershare.General JournalJournal entry worksheet< 1 2 34Clear entry567General JournalClear entryDebit7DebitCreditRecord the declaration of a cash dividend on its common stock of $0.75 pershare and a $22,000 (4% of par value) cash dividend on its preferred stockpayable to all stockholders. The dividend is payable on December 30. (Hint:Dividends are not paid on treasury stock.)Note: Enter debits before credits.View general JournalDebitCreditView general JournalCreditView general Journal>>> Journal entry worksheet<1 23Note: Enter debits before credits.DateDecember 15, 2024Record the entry on December 15, the date of record.Record entry4 5General Journal7Clear entryDebit CreditView general Journal>Journal entry worksheet< 1 2 3Record the payment of the cash dividends declared on December 1.Note: Enter debits before credits.DateDecember 30, 20244 5 67Record entryGeneral JournalClear entryDebitCreditView general Journal

Journal Entry is the primary step to record the transaction in the books of accounts. The increase…

Required information Problem 10-6A (Algo) Record equity transactions and prepare the stockholders' equity section (LO10-2, 10-3, 10-4, 10-5, 10-7) [The following Information applies to the questions displayed below.] Golf Apparel has two classes of stock authorized: 4%, $10 per preferred, and $1 par value common. The following transactions affect stockholders' equity during 2024, its first year of operations: January 2 Ieeue 120,000 shares of common stock for $65 per share. February 14 Issue 55,000 shares of preferred stock for $13 per share. Hay B May 31 December 1 Purchase 12,000 shares of its own common stock for $55 per share. Resell 6,000 shares of treasury stock for $60 per share. Declare a cash dividend on its common stock of $0.75 per ahare and a $22,000 (48 of par value) cash dividend on its preferred stock payable to all stockholders of record on December 15. The dividend is payable on December 30. (Hint: Dividende are not paid on treasury stock.) December 30 Pay the cash dividends declared on December 1. Problem 10-6A (Algo) Part 1 Required: 1. Record each of these transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q