September 2008. Sep. 1 Sep. 2 Sep. 12 Sep. 18 Sep. 30 Issued 12,000 shares of $1 par value common stock for $82 per share. Declared a 20 percent stock dividend. There were 42,000 shares of common stock outstanding trading at a market price of $84 per share. Issued 4,200 shares of common stock in exchange for land valued at $368,000. Declared a $160,200 cash dividend on common stock. Distributed the stock dividend declared on September 2nd. 1 Sep. 30 Paid the cash dividend declared on September 18th. Saddlebrook Co.'s net income was $118,400 in September, while the beginning balan in retained earnings account was $812,200. Required: 1. Prepare journal entries to record each of the transactions above for September 2008. 2. Prepare a statement of retained earnings for the month ending September 30, 2008.
September 2008. Sep. 1 Sep. 2 Sep. 12 Sep. 18 Sep. 30 Issued 12,000 shares of $1 par value common stock for $82 per share. Declared a 20 percent stock dividend. There were 42,000 shares of common stock outstanding trading at a market price of $84 per share. Issued 4,200 shares of common stock in exchange for land valued at $368,000. Declared a $160,200 cash dividend on common stock. Distributed the stock dividend declared on September 2nd. 1 Sep. 30 Paid the cash dividend declared on September 18th. Saddlebrook Co.'s net income was $118,400 in September, while the beginning balan in retained earnings account was $812,200. Required: 1. Prepare journal entries to record each of the transactions above for September 2008. 2. Prepare a statement of retained earnings for the month ending September 30, 2008.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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hrd.4
Transcribed Image Text:September 2008.
Sep. 1
Sep. 2
Sep. 12
Sep. 18
Sep. 30
Issued 12,000 shares of $1 par value common stock for $82 per share.
Declared a 20 percent stock dividend. There were 42,000 shares of
common stock outstanding trading at a market price of $84 per share.
Issued 4,200 shares of common stock in exchange for land valued at
$368,000.
Declared a $160,200 cash dividend on common stock.
Distributed the stock dividend declared on September 2nd.
1
Sep. 30 Paid the cash dividend declared on September 18th.
Saddlebrook Co.'s net income was $118,400 in September, while the beginning balan.
in retained earnings account was $812,200.
Required:
1. Prepare journal entries to record each of the transactions above for September 2008.
2. Prepare a statement of retained earnings for the month ending September 30, 2008.
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