The balance sheet of Consolidated Paper, Inc., included the following shareholders' equity accounts at December 31, 2020: Paid-in capital: Preferred stock, 7.5%, 88,000 shares at $1 par Common stock, 383,800 shares at $1 par Paid-in capital-excess of par, preferred Paid-in capital-excess of par, common Retained earnings Treasury stock, at cost; 3,800 common shares Total shareholders' equity $ 88,000 383,800 1,505,000 2,555,000 •8,845,000 (41,800) $13,335,000
Q: What is one objective of an appraisal program? a. having tho
A: What is the one Objective of an appraisal program ? a. having the employee feel more valued b. dete...
Q: la2 Complete the Trial Balance (TB) for Carrick Ltd for the end of March 2022.
A: Trial balance is an extract of all the ledger account balances based on which the final accounts of ...
Q: Required information (The following information applies to the questions displayed below) The follow...
A: Sales tax: Sales tax is one type of indirect tax that needs to pay on selling goods or rendering ser...
Q: Problem 8-25 Lump Sum Sale of Share Capital X Corporation issued its share capital in exchange for a...
A: Lump-sum sale of share capital is done for the purchase price of some asset in which more than one c...
Q: What is intraperiod tax allocation and why is it necessary? How is the income tax expense related to...
A: Income tax seems to be the amount of tax collected by the federal government on the earnings of indi...
Q: The Lakeshore Hotel's occupancy-days and custodial supplies expense over the last seven months were ...
A: The least-square method is the best method to bifurcate fixed and variable costs from the total cost...
Q: ABC Company reported pretax financial income of P 6,500,000 and P 8,200,000 for years 2019 and 2020,...
A: Deferred tax laibility is the amount of tax a company owes to the ...
Q: Direct Materials Beginning balance S5,000 Ending balance 16,000 Purchases 55,000 Direct materials us...
A: The direct materials used is calculated as difference between total direct materials available for u...
Q: GHI Corporation, a distributor of various beauty products, was authorized to issue 10,000 6%, P100 p...
A: Stockholders equity can be calculated by taking the sum of share capital and retained earnings.
Q: January 25 Received $1150 cash for laundry services provided in January 2022. JOUonal eny xy
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in...
Q: On July 1, Blue Spruce Corporation purchases 460 shares of its $5 par value common stock for the tre...
A: Treasury shares means the share which has been buy back by the company . It will be shown as deducti...
Q: On December 31, 2022, ALR, Inc. classified one of its plant assets (land) as held for sale. The carr...
A: 1. Journal entry to reclassify the land held for sale 31/12/22 Land held for sale 2000000 ...
Q: Saved Help Save & Exit Submi Boone Company allocates overhead based on direct labor hours. It alloca...
A: Given, Overhead cost = $4600 Job 1 (11 hours)= $2300 Job 2 (11 hours)= $2300 Overhead increased = $6...
Q: If a business is owned by three partners, how many capital accounts are required on the books? Why
A: A partnership firm is model of business structure which consider two or more partners agrees to corp...
Q: RCM Corporation, a calendar-year firm, is authorized to issue $200,000 of 10 percent, 20-year bonds ...
A: Solution... Issue price = $200,000 RATE OF INTEREST = 10% Interest expenses accrued on April 1 =...
Q: Sunrise Corporation, a food company, was established on January 2, 2018. It is authorized to issue 1...
A: The shareholders' equity represents the equity that belongs to the shareholders with inclusion of ad...
Q: The following facts pertain to a non-cancelable lease agreement between Faldo Leasing Company and Cr...
A: Solution Working note - Present value of minimum lease payment = (Annual lease Payment *PVAD for 9% ...
Q: amarisk is unable to reconcile the bank balance at January 31. Tamarisk’s reconciliation is as follo...
A: A bank reconciliation statement; BRS is prepared by firm when the cash balance of books doesn't matc...
Q: During 2008, Luciana Company introduced a new product carrying a two-year warranty against defects. ...
A: Answer: 2, 200, 000 Explanation/ Computation: The warranty liability is a liabil...
Q: Assume you are the controller of a large corporation, and the chief executive officer (CEO) hasreque...
A: Introduction:- Financial statements are formal records of a company's, individual's, or other entity...
Q: achine having a certain first cost FC has a life of 10 years and a salvage value of 6% of the cost a...
A: Depreciation- Depreciation is defined as the decrease in the monetary worth of a fixed asset until i...
Q: 3. HARI OM TAT SAT Ltd. Delhi invoices goods to its Mumbai and Kolkata offices at 20% less than the ...
A: Branch accounting is a bookkeeping method that keeps independent accounts for each of a company's br...
Q: A Co. and B Co. are joint venturers of C.Co, a producer of high tech machinery. A and B, each have 5...
A: Joint ventures is a form of agreement or arrangement between two or more than two persons, in which ...
Q: 6.1 If two years' preferred dividends are in arrears and the board of directors declares cash divide...
A: Dividend is the part or share of profits that is being distributed to the shareholders. Cumulative p...
Q: Louise has worked for Rocky for 8 years. Unfortunately, due to COVID-19 pandemic, Rocky is forced to...
A: The manner through which a particular activity or a transaction is taxable or is exempted from tax i...
Q: Assuming your fixed cost per year are $10,000 are you making enough profit to pay that amount ?
A: Working:
Q: Required: Determine the following measures for 20V2, rounding to one decimal place, except for dolla...
A: Ratios play an important role in the analysis of the financial performance of an organization during...
Q: Which of the following is not a reason for the physical inventory count to differ from what isrecogn...
A: Inventory is one of the important current asset of the business. This can be in form of raw material...
Q: A Sales cut-off procedure for the audit of the financial statements of Carrie Corp. resulted to the ...
A:
Q: Morganton Company makes one product and it provided the following information to help prepare the ma...
A: A. Determination of Unit Product cost Quantity (A) Cost (B) Cost per unit A×B Raw Material...
Q: You were assigned to audit the Property, plant and equipment account of your continuing audit client...
A: The correct initial cost is the amount paid at the time of purchase of an asset and the present valu...
Q: The official receipt reports a higher amount of cash collected while the corresponding sales invoice...
A: Solution A lapping scheme is a fraudulent practice that involves altering accounts receivables to hi...
Q: In 2020, Frost Company, which began operations in 2018, decided to change from LIFO to FIFO because ...
A: Inventory Analysis: Inventory analysis is one of the parts of operation research which bargains in c...
Q: X Company issued 1,000 of its ordinary shares with P10 par for an equipment with book value of P11,0...
A: The excess value of acquisition of non cash assets as compared to par value of shares issued, is cre...
Q: Find the payment necessary to amortize a 4% loan of $2100 compounded quarterly, with 19 quarterly pa...
A: Payment size: It implies to the amount of payment that is made in respect of a loan at regular inter...
Q: One operating cycle of a business, which could be a month, quarter, or year, is commonly referredto ...
A: The operating cycle is the average amount of time it takes for a company to invest money to produce ...
Q: Direct Materials Beginning balance S5,000 Ending balance 16,000 Purchases 55,000 Direct materials us...
A: Direct material is that type of materials which is used directly for production and manufacturing of...
Q: Kent contributed $50,000 in exchange for a 40% interest in a partnership at the beginning of the yea...
A: In partnership the profits and losses are allocted as per the profit sharing r...
Q: Which of the following accounts is considered a temporary or nominal account?A. Fees Earned RevenueB...
A: There are two type of accounts used in business. One is permanent accounts and other is temporary ac...
Q: Sunny Groves is Citrus grower in a southern state that has several citrus orchards, Weather forcaste...
A: Revenue- Total revenue is defined as the complete revenues generated through the sale of a company's...
Q: On February 10, 2010, after issuance of its financial statements for 2009, House Company entered int...
A: GIVEN On February 10, 2010, after issuance of its financial statements for 2009, House Company ent...
Q: Below is the trial balance of Summit Ltd. at December 31, 2021 Summit Ltd. Trial Balance December 31...
A: Journal entry - It refers to the process where the business transactions are recorded in the books o...
Q: The Bountiful Company was organized on January 3, 2022 with a share capital fully paid up of P 10,00...
A: Working notes :- Total Sale - Accounts Receivable = Cash reali...
Q: Kagel Corporation had 30,000 shares of $5 par value common stock issued and outstanding on December ...
A: Introduction:- A journal entry is an act of recording or keeping track of any financial or non-finan...
Q: 4...new..C Bonita Leasing Company agrees to lease equipment to Windsor Corporation on January 1, 20...
A: Lease Accounting It is important in the lease accounting which determine the present value of the le...
Q: state whether each of the following terms is correct or incorrect and correct the false one: 1-Absol...
A: An audit is a thorough scrutiny of the books of accounts and related documents of an entity.
Q: the total expenses as of December 31. Required: 1. Based on the above data and your audit, determine...
A: Here student post different question we will solve first question for you. If you need additional k...
Q: Sega Sammy Holdings, Inc. Earnings Information Earnings Information 2017 2018 2019 2020 2021 Net sal...
A: Accounting ratios: The ratios that use the values from accounting statements of generally two ye...
Q: Standard Company purchased a machine on January 1, 2009 for P500,000. At the time, it was determined...
A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets ...
Q: The government has decided to give a special handout where RM10,000 can be withdrawn from KWSP. What...
A: Employees' Provident Fund (EPF; Malay: Kumpulan Wang Simpanan Pekerja, KWSP) may be a federal statut...
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Lyon Company shows the following condensed income statement information for the year ended December 31, 2019: Lyon declared dividends of 6,000 on preferred stock and 17,280 on common stock. At the beginning of 2019, 10,000 shares of common stock were outstanding. On May 1, 2019, the company issued 2,000 additional common shares, and on October 31, 2019, it issued a 20% stock dividend on its common stock. The preferred stock is not convertible. Required: 1. Compute the 2019 basic earnings per share. 2. Show the 2019 income statement disclosure of basic earnings per share. 3. Draft a related note to accompany the 2019 financial statements.Anoka Company reported the following selected items in the shareholders equity section of its balance sheet on December 31, 2019, and 2020: In addition, it listed the following selected pretax items as a December 31, 2019 and 2020: The preferred shares were outstanding during all of 2019 and 2020; annual dividends were declared and paid in each year. During 2019, 2,000 common shares were sold for cash on October 4. During 2020, a 20% stock dividend was declared and issued in early May. At the end of 2019 and 2020, the common stock was selling for 25.75 and 32.20, respectively. The company is subject to a 30% income tax rate. Required: 1. Prepare the comparative 2019 and 2020 income statements (multiple-step), and the related note that would appear in Anokas 2020 annual report. 2. Next Level Compute the price/earnings ratio for 2020. How does this compare to 2019? Why is it different?Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.
- Monona Company reported net income of 29,975 for 2019. During all of 2019, Monona had 1,000 shares of 10%, 100 par, nonconvertible preferred stock outstanding, on which the years dividends had been paid. At the beginning of 2019, the company had 7,000 shares of common stock outstanding. On April 2, 2019, the company issued another 2,000 shares of common stock so that 9,000 common shares were outstanding at the end of 2019. Common dividends of 17,000 had been paid during 2019. At the end of 2019, the market price per share of common stock was 17.50. Required: 1. Compute Mononas basic earnings per share for 2019. 2. Compute the price/earnings ratio for 2019.Statement of Stockholders' Equity At the end of 2019, Stanley Utilities Inc. had the following equity accounts and balances: During 2020, Stanley Utilities engaged in the following transactions involving its equity accounts: Sold 3,300 shares of common stock for $15 per share. Sold 1,000 shares of 12%, $100 par preferred stock at $105 per share. Declared and paid cash dividends of $8,000. Repurchased 1,000 shares of treasury stock (common) for $38 per share. Sold 400 of the treasury shares for $42 per share. Required: Prepare the journal entries for Transactions a through e. Assume that 2020 net income was $87,000. Prepare a statement of stockholders equity at December 31, 2020.On January 1, 2019, Kittson Company had a retained earnings balance of 218,600. It is subject to a 30% corporate income tax rate. During 2019, Kittson earned net income of 67,000, and the following events occurred: 1. Cash dividends of 3 per share on 4,000 shares of common stock were declared and paid. 2. A small stock dividend was declared and issued. The dividend consisted of 600 shares of 10 par common stock. On the date of declaration, the market price of the companys common stock was 36 per share. 3. The company recalled and retired 500 shares of 100 par preferred stock. The call price was 125 per share; the stock had originally been issued for 110 per share. 4. The company discovered that it had erroneously recorded depreciation expense of 45,000 in 2018 for both financial reporting and income tax reporting. The correct depreciation for 2018 should have been 20,000. This is considered a material error. Required: 1. Prepare journal entries to record Items 1 through 4. 2. Prepare Kittsons statement of retained earnings for the year ended December 31, 2019.
- Cash dividends on the 10 par value common stock of Garrett Company were as follows: The 4th-quarter cash dividend was declared on December 21, 2019, to shareholders of record on December 31, 2019. Payment of the 4th-quarter cash dividend was made on January 18, 2020. In addition, Garrett declared a 5% stock dividend on its 10 par value common stock on December 3, 2019, when there were 300,000 shares issued and outstanding and the market value of the common stock was 20 per share. The shares were issued on December 24, 2019. What was the effect on Garretts shareholders equity accounts as a result of the preceding transactions?Treasury Stock, Cost Method Bush-Caine Company reported the following data on its December 31, 2018, balance sheet: The following transactions were reported by the company during 2019: 1. Reacquired 200 shares of its preferred stock at 57 per share. 2. Reacquired 500 shares of its common stock at 16 per share. 3. Sold 100 shares of preferred treasury stock at 58 per share. 4. Sold 200 shares of common treasury stock at 17 per share. 5. Sold 100 shares of common treasury stock at 9 per share. 6. Retired the shares of common stock remaining in the treasury. The company maintains separate treasury stock accounts and related additional paid-in capital accounts for each class of stock. Required: 1. Prepare the journal entries required to record the treasury stock transactions using the cost method. 2. Assuming the company earned a net income in 2019 of 30.000 and declared and paid dividends of 10,000, prepare the shareholders equity section of its balance sheet at December 31, 2019.Hyde Corporations capital structure at December 31, 2018, was as follows: On July 2, 2019, Hyde issued a 10% stock dividend on its common stock and paid a cash dividend of 2.00 per share on its preferred stock. Net income for the year ended December 31, 2019, was 780,000. What should be Hydes 2019 basic earnings per share? a. 7.80 b. 7.09 c. 7.68 d. 6.73
- Given the following year-end information for Somerset Corporation, compute its basic earnings per share. Net income, 13,000 Preferred dividends declared, 4,000 Weighted average common shares for the year, 4,500Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 0 par common stock at 0, receiving cash. b. Issued 4,000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 375. The bonds are classified as a held- to-maturitv long-term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0.60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 545, including commission. p. Recorded the payment of semiannual interest on the bonds issued in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method, q. Accrued interest for three months on the Dream Inc. bonds purchased in (1). r. Pinkberry Co. recorded total earnings of 240,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39.02 per share on December 31, 2016. The investment is adjusted to fair value, using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments had a beginning balance of zero. Instructions Journalize the selected transactions. After all of the transactions for the year ended December 31, 2016, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step income statement for the year ended December 31, 2016, concluding with earnings per share. In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. (Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 2016. c. Prepare a balance sheet in report form as of December 31, 2016. Income statement data: Advertising expense 150,000 Cost of merchandise sold 3,700,000 Delivery expense 30,000 Depreciation expense -office buildings and equipment 30,000 Depreciation expensestore buildings and equipment 100,000 Dividend revenue 4,500 Gain on sale of investment 4,980 Income from Pinkberry Co. investment 76,800 Income tax expense 140,500 Interest expense 21,000 Interest revenue 2,720 Miscellaneous administrative expense 7.500 Miscellaneous selling expense 14,000 Office rent expense 50,000 Office salaries expense 170,000 Office supplies expense 10,000 Sales 5,254,000 Sales commissions 185,000 Sales salaries expense 385,000 Store supplies expense 21,000 Retained earnings and balance sheet data: Accounts payable 194,300 Accounts receivable 545,000 Accumulated depreciationoffice buildings and equipment 1,580,000 Accumulated depreciationstore buildings and equipment 4,126,000 Allowance for doubtful accounts 8,450 Available for sale investments (at cost) 260,130 Bonds payable. 5%. due 2024 500,000 Cash 246,000 Common stock, 20 par (400,000 shares authorized; 100,000 shares issued. 94,600 outstanding) 2,000,000 Dividends: Cash dividends for common stock 155,120 Cash dividends for preferred stock 100,000 Goodwill 500,000 Income tax payable 44,000 Interest receivable 1,125 Investment in Pinkberry Co. stock (equity method) 1,009,300 Investment in Dream Inc. bonds (long term) 90,000 Merchandise inventory [December 31, 2016). at lower of cost (FIFO) or market 778,000 Office buildings and equipment 4.320,000 Paid-in capital from sale of treasury stock 13,000 Excess of issue price over parcommon stock 886,800 Excess of issue price over parpreferred stock 150,000 Preferred 5% stock. 80 par (30,000 shares authorized; 20,000 shares issued] 1,600,000 Premium on bonds payable 19,000 Prepaid expenses 27,400 Retained earnings, January 1, 2016 9,319,725 Store buildings and equipment 12,560,000 Treasury stock (5,400 shares of common stock at cost of 33 per share) 178,200 Unrealized gain (loss) on available for sale investments (6,500) Valuation allowance for available for sale investments (6,500)Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 20 par common stock at 30, receiving cash. b. Issued 4,000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 375. The bonds are classified as a heldtomaturity long-term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0.60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 45, including commission. p. Recorded the payment of semiannual interest on the bonds issued in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method. q. Accrued interest for three months on the Dream Inc. bonds purchased in (l). r. Pinkberry Co. recorded total earnings of 240,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39.02 per share on December 31, 2016. The investment is adjusted to fair value, using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments had a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transactions for the year ended December 31, 2016, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step income statement for the year ended December 31, 2016, concluding with earnings per share. In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. (Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 2016. c. Prepare a balance sheet in report form as of December 31, 2016.