Required information[The following information applies to the questions displayed below]Bacon Inc. has the following stockholders' equity section in its May 31, 2019, comparative balance sheets:Paid-in capital:Preferred stock, $120 par value, 9%, cumulative, 200,000 shares authorized,140,000 shares issued and outstandingCommon stock, $5 par value, 1,000,000 shares authorized, 600,000 and 540,000shares issued, respectively.Additional paid-in capital.Retained earningsLess: Treasury common stock, at cost; 72,000 shares and 68,000 shares,respectivelyTotal stockholders' equity.May 31, 2019Total cash dividend$16,800,000?26,100,00036,200,000(4,412,000)$?April 30, 2019$16,800,0002,700,00023,220,00034,640,000(4,148,000)$73,212,000Assume that on June 1 the board of directors declared a cash dividend of $0.60 per share on the outstanding shares of commonstock. The dividend will be payable on July 15 to stockholders of record on June 15e-1. Calculate the total amount of the dividend.

The dividend is declared and paid to the shareholders from the retained earnings of the business.…

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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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! Required information [The following information applies to the questions displayed below.] Bacon Inc. has the following stockholders' equity section in its May 31, 2019, comparative balance sheets: May 31, 2019 Paid-in capital: Preferred stock, $130 par value, 6%, cumulative, 100,000 shares authorized, 86,000 shares issued and outstanding Common stock, $4 par value, 600,000 shares authorized, 370,000 and 350,000 shares issued, respectively Additional paid-in capital Retained earnings Less: Treasury common stock, at cost; 22,000 shares and 21,000 shares, respectively Total stockholders' equity Assets Balance Sheet Liabilities + + + $11,180,000 + ? 14,840,000 12,240,000 (2,024,000) $ f-1. Assume that on June 1 the market value of the common stock was $32 per share and that the board of directors declared a 5% stock dividend on the issued shares of common stock. Use the horizontal model to show the issuance of the stock dividend. Indicate the financial statement effect. (Enter decreases…
The stockholders’ equity accounts of Grouper Company have the following balances on December 31, 2020. Common stock, $10 par, 290,000 shares issued and outstanding $ 2,900,000 Paid-in capital in excess of par—common stock 1,120,000 Retained earnings 5,110,000 Shares of Grouper Company stock are currently selling on the Midwest Stock Exchange at $ 36.Prepare the appropriate journal entries for each of the following cases. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) (a) A stock dividend of 7% is (1) declared and (2) issued. (b) A stock dividend of 100% is (1) declared and (2) issued. (c) A 2-for-1 stock split is (1) declared and (2) issued. No. Account Titles and Explanation Debit Credit (a) (1) enter an account title for case A to record the declaration of stock dividends…
Stockholders' equity accounts, arranged aphabetically are the ledger of Pina Colada Corp. at December 31, 2020. Common Stock ($5 stated value) $1,675,000 Paid-in capital inexcess of par-preferred stock 279,000 Paid-in capital in excess of stated value-common stock. 936,000 Preferred stock (8%, $103 par) 489,250 Ratained Earnings 1,120,000 Treasury Stock (12,000 common shares) 144,000 Prepare the stockholders' equity section of the balance sheet at December 31, 2020. *please solve and explain process. Thank you
The equity section of the December 31", 2025, balance sheet for BOOYA Inc. showed the following: BOOYA Inc. Equity Section of the Balance Sheet December 31, 2025 Contributed Capital: Preferred shares, $0.25 non-cumulative, 80,000 shares authorized, 60,000 shares issued and outstanding Common shares, 250,000 shares authorized, 120,000 shares issued and outstanding Total contributed capital Retained earnings Total equity $150,000 120.000 $270,000 92.500 $362,500 During the year 2026, BOOYA Inc had the following transactions affecting equity accounts: Sold 20,000 common shares for a total of $21,500 cash Sold 5,000 preferred shares for $3.00 each, cash. Issued and exchanged 7,000 common shares for equipment with a list price of $10,000 (fair value unknown). Common shares were trading at $1.42 on June 15th. Jan. 3 Mar. 1 June 15. Closed the Income Summary account, which showed a credit balance of $175,000. Dec. 31 The board of directors had not declared a dividend for the past two years…
The JHONG Corporation had the following balances in its Shareholders' Equity accounts as of December 31, 2019: Ordinary Share Capital, P10, par, 20,000 shares issued P200,000; Additional Paid In Capital P80,000; Retained Earnings P100,000; Treasury Shares at cost (2,000 shares) P24,000. The following shareholders' equity transactions took place in 2020 and 2021: 1. Dividends declared in 2020 were P22,000 and in 2021 were P 35,000. 2. Sold 1,000 Treasury shares at P15 per share in 2020 and 600 shares at P28 per share in 2021. 3. Issued an additional 1,500 new shares at P18 per share in 2021. 4. Net profit for 2020 was P80,000 and for 2021 was P98,000. How much is the balance of the Treasury Shares account as of December 31, 2021? *
Rogers corporation reported basic earnings per share of $1.25 for the year ended December 31, 2019. Rogers had 8000 shares of cumulative, non-convertible $100 par, 12% preferred stock outstanding during all of 2019. The company began 2019 with 200,000 shares of common stock outstanding and ended the year with 400,000 share of common stock outstanding, due to issuing 200,000 shares on july 1, 2019. determine rodgers net income for 2019?
Comparative statements of shareholders’ equity for Anaconda International Corporation were reported as follows for the fiscal years ending December 31, 2021, 2022, and 2023. ANACONDA INTERNATIONAL CORPORATIONStatements of Shareholders' EquityFor the Years Ended Dec. 31, 2021, 2022, and 2023($ in millions) Preferred Stock$10 par Common Stock$1 par AdditionalPaid-In Capital Retained Earnings TotalShareholders' Equity Balance at January 1, 2021 65 520 1,860 2,445 Sale of preferred shares 30 900 930 Sale of common shares 7 56 63 Cash dividend, preferred (3 ) (3 ) Cash dividend, common (17 ) (17 ) Net income 340 340 Balance at December 31, 2021 30 72 1,476 2,180 3,758 Retirement of shares (2 ) (16 ) (24 ) (42 ) Cash dividend, preferred…
Bramble Corp. reported the following balances at December 31, 2021: common stock $408,000, paid-in Capital in Excess of Par- common stock $106,000, and retained earnings $242,000. During 2022, the following transactions affected stockholders' equity. 1. 2. 3. 4. Issued preferred stock with a par value of $128,500 for $209,000. Purchased treasury stock (common) for $36,500. Earned net income of $135,000. Declared and paid cash dividends of $52,500. Prepare the stockholders' equity section of Bramble Corp's December 31, 2022, balance sheet.
The balance sheet for Tactex Controls Inc., provincially incorporated in 2018, reported the following components of equity on December 31, 2019. Tactex Controls Inc. Equity Section of the Balance Sheet December 31, 2019 Contributed capital: Preferred shares, $2.3 cumulative, unlimited shares authorized; 22,000 shares issued and outstanding Common shares, unlimited shares authorized; 77,000 shares issued and outstanding Total contributed capital Retained earnings Total equity 394,000 737,000 $1,131,000 380,000 $1,511,000 2020 Jan. 1 Sold 32,000 common shares at $10.84 per share. 5 $ In 2020 and 2021, the company had the following transactions affecting shareholders and the equity accounts: The directors declared a total cash dividend of $233,000 payable on Feb. 28 to the Feb. 5 shareholders of record. Dividends had not been declared for the years 2018. and 2019. All of the preferred shares had been issued during 2018. Feb. 28 Paid the dividends declared on January 5. July 1 Sold…
An excerpt from the financial records of Windle Inc. (Windle) at December 31, 2019, was as follows: Preferred shares, Series A, $5, cumulative, 60,000 shares issued and outstanding $ 6,000,000 Preferred shares, Series B, $6.50, non-cumulative, 40,000 shares issued and outstanding $ 4,000,000 Common shares, 1,800,000 shares issued and outstanding $25,400,000 The following common share transactions took place in 2020: April 1: Windle issued 200,000 common August 31: Windle repurchased and cancelled 60,000 common October 31: Windle issued 100,000 common shares. Additional information: Windle’s net income for the year ended December 31, 2020, was $17,600,000. Dividends on preferred shares in arrears and for the current year were declared in full on December 15, 2020 (dividends on preferred shares were in arrears and had last been declared in full on December 15, 2018). Windle is subject to tax at a rate of 30%, and reports under Required: Calculate Windle’s…
Bacon Inc. has the following stockholders’ equity section in its May 31, 2019, comparative balance sheets: May 31, 2019 April 30, 2019 Paid-in capital: Preferred stock, $120 par value, 9%, cumulative, 200,000 shares authorized, 140,000 shares issued and outstanding $ 16,800,000 $ 16,800,000 Common stock, $5 par value, 1,000,000 shares authorized, 600,000 and 540,000 shares issued, respectively ? 2,700,000 Additional paid-in capital 26,100,000 23,220,000 Retained earnings 36,200,000 34,640,000 Less: Treasury common stock, at cost; 72,000 shares and 68,000 shares, respectively (4,412,000 ) (4,148,000 ) Total stockholders' equity $ ? $ 73,212,000 g. Assume that instead of the stock dividend described in f, the board of directors authorized a 2-for-1 stock split on June 1 when the market price of the common stock was $70 per share.1. What will be the par value, and how many shares of common stock will be…
Prepare the journal entries to record the above stock transactions

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