The stockholders' equity section of Sunland Company's balance sheet consists of common stock ($8 par) $1,056,000 and retainedearnings $285,000. A 10% stock dividend (13,200 shares) is declared when the market price per share is $19. Show the before-and-after effects of the dividend on the following.(a) The components of stockholders' equity.(b)Shares outstanding.Stockholders' equity $Outstanding sharesBeforeDividendLA$AfterDividend

The objective of the question is to understand the impact of a stock dividend on the components of…

Answered: The stockholders' equity section of…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

The stockholders' equity section of the January 1, 2031 balance sheet for XYZ Company is given below: Common stock, $14 par value ................. $525,000 Paid-in capital – common stock .............. $150,000 Treasury stock (14,000 shares @ $16 cost) ... $224,000 Paid-in capital – treasury stock ............ $ 13,000 Retained earnings ........................... $107,000 XYZ Company entered into the following transactions during 2031: a. Re-issued 2,000 of the treasury shares for $11 per share. b. Re-issued 3,000 of the treasury shares for $13 per share. c. Issued 5,000 shares of previously un-issued common stock for $21 per share. d. Re-issued 6,000 of the treasury shares for $19 per share. Calculate the balance in the retained earnings account after all four transactions above are recorded.
At December 31, the records of Kozmetsky Corporation provided the following selected and incomplete data: Common stock (par $2; no changes during the current year). Shares authorized, 5,000,000. Shares issued, Shares held as treasury stock, 10, 000 shares, cost $6 per share. Net income for the current year, $481,000. Common Stock account, $150,000. Dividends declared and paid during the current year, $2 per share. Retained Earnings balance, beginning of year, $800,000. ?; issue price $8 per share. Required: Complete the following: (Round "Earnings per share" to 2 decimal places.)
Shown below is information relating to the stockholders' equity of Robertson Corporation at December 31, 2022: 12% cumulative preferred stock, $150 par Common stock, $1.50 par Additional paid-in capital: preferred stock Additional paid-in capital: common stock Treasury stock (at cost: 6,000 common shares) Retained earnings Refer to the above data. How many shares of common stock are outstanding? O a. 600,000 O b. 406,000 O c. 594,000 O d. 394,000 $1,500,000 600,000 300,000 900,000 180,000 1,350,000
On January 1, 2008, the stockholders' equity section of Gibbons Corporation's balance sheet showed the following:Common stock par 10, authorized 100, 000 shares, issued 10, 000 shares 100,000Share Premium 50,000Retained Earnings 160.000 During the year 2008, the accounts showed the following summarized transactions (assume they occurred in the order given):(I) Issued a10% stock dividend, 1.000 shares issued when the market price was 12(2) Purchased treasury stock (200 shares at 11)(3) Declared and paid a cash dividend of 19,800(4) Ne4 income, 30,000. How much is the stockholder's equity?How much is the retained earnings?
The stockholders' equity section of Jun Company's balance sheet as of April 1 follows. On April 2, Jun declares and distributes a 20% stock dividend. The stock's per share market value on April 2 is $15 (prior to the dividend). Common stock-$5 par value, 415,000 shares authorized, 220,000 shares issued and outstanding Paid-in capital in excess of par value, common stock. Retained earnings Total stockholders' equity Prepare the stockholders' equity section immediately after the stock dividend is distributed. Total paid-in capital Total stockholders' equity JUN COMPANY Stockholders' Equity April 2 (after stock dividend) $ 0 $ 1,100,000 530,000 853,000 $ 2,483,000 0 4
On June 13, the board of directors of Siewert Inc. declared a 5% stock dividend on its 40 million, $1 par, common shares, to be distributed on July 1. The market price of Siewert common stock was $15 on June 13. Complete the below table to calculate the stock dividend.Prepare a journal entry that summarizes the declaration and distribution of the stock dividend.
Shown below is information relating to the stockholders' equity of Perry Corporation as of December 31, Year 1: 5.5% cumulative preferred stock, $100 par value; authorized, ?? shares; issued and outstanding, ?? shares Common stock, $10 par value; authorized, 360,000 shares; issued and outstanding, 140,000 shares Additional paid-in capital: Common stock Retained earnings (Deficit) Dividends in arrears What was the original issue price per share of common stock?
Your answer is partially correct. Try again. The stockholders' equity section of Bonita Corporation consists of common stock ($10 par) $2,400,000 and retained earnings $527,000. A 10% stock dividend (24,000 shares) is declared when the market price per share is $14. Show the before-and-after effects of the dividend on the following. (a) The components of stockholders' equity. (b) Shares outstanding. (c) Par value per share. Stockholders' equity Outstanding shares. Par value per share x ✓ Before Dividend 2927000 After Dividend
The stockholders’ equity section of Creighton Company’s balance sheet is shown as follows: CREIGHTON COMPANY As of December 31, Year 3 Stockholders’ equity Preferred stock, $10 stated value, 7% cumulative,300 shares authorized, 50 issued and outstanding $ 500 Common stock, $10 par value, 250 shares authorized,100 issued and outstanding 1,000 Common stock, class B, $20 par value, 400 sharesauthorized, 150 issued and outstanding 3,000 Common stock, no par, 150 shares authorized,100 issued and outstanding 2,200 Paid-in capital in excess of stated value—preferred 600 Paid-in capital in excess of par value—common 1,200 Paid-in capital in excess of par value—class B common 750 Retained earnings 7,000 Total stockholders’ equity $ 16,250 Requireda. Assuming the preferred stock was originally issued for cash, determine the amount of cash collected when the stock was issued.b. Based on the class B common stock alone,…
Can you answer dividend per share (b.) The stockholders’ equity section of the balance sheet for Mann Equipment Co. at December 31, Year 2, is as follows. Stockholders’ Equity Paid-in capital Preferred stock, ? par value, 4% cumulative, 170,000 shares authorized, 47,000 shares issued and outstanding $ 705,000 Common stock, $12 stated value, 220,000 shares authorized, 47,000 shares issued and ?? shares outstanding 564,000 Paid-in capital in excess of par—Preferred 37,000 Paid-in capital in excess of stated value—Common 141,000 Total paid-in capital $ 1,447,000 Retained earnings 320,000 Treasury stock, 3,000 shares (33,000 ) Total stockholders’ equity $ 1,734,000 Note: The market value per share of the common stock is $26, and the market value per share of the preferred stock is $19. Required What is the dividend per share on the preferred…
Identifying and Analyzing Financial Statement Effects of Stock Transactions Melo Company reports the following transactions relating to its stock accounts in the current year. Use the financial statement effects template to indicate the effects from each of these transactions. (a) Mar. 2 Issued 14,000 shares of $1 par value common stock at $30 cash per share. (b) Apr. 14 Issued 21,000 shares of $100 par value, 8% preferred stock at $250 cash per share. (c) June. 30 Purchased 4,200 shares of its own common stock at $22 cash per share. (d) Sep. 25 Sold 2,100 shares of its treasury stock at $26 cash per share. Note: For each account category, indicate the appropriate account name. Enter "N/A" for
A company with 95,000 authorized shares of $7 par common stock issued 42,000 shares at $16. Subsequently, the company declared a 2% stock dividend on a date when the market price was $34 per share. What is the amount transferred from the retained earnings account to paid-in capital accounts as a result of the stock dividend?

SEE MORE QUESTIONS

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS