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What is the amount of retained earnings transferred to paid - in capital accounts (capitalized) for the stock dividend?

What is the amount of retained earnings transferred to paid - in capital accounts (capitalized) for the stock dividend?

FINANCIAL ACCOUNTING
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 Skip to question [The following information applies to the questions displayed below.] The equity sections for Atticus Group at the beginning of the year (January 1) and end of the year (December 31) follow. Stockholders' Equity (January 1) Common stock-$5 par value, 100, 000 shares authorized, 35,000 shares issued and outstanding $ 175,000 Paid - in capital in excess of par value, common stock 135,000 Retained earnings 360, 000 Total stockholders' equity $ 670,000 Stockholders' Equity (December 31) Common stock-$5 par value, 100, 000 shares authorized, 41, 200 shares issued, 4,000 shares in treasury $ 206, 000 Paid - in capital in excess of par value, common stock 166,000 Retained earnings ($50,000 restricted by treasury stock) 420, 000 792, 000 Less cost of treasury stock (50,000) Total stockholders' equity S 742,000 The following transactions and events affected its equity during the year. January 5 Declared a $0.60 per share cash dividend, date of record January 10. March 20 Purchased treasury stock for cash. April 5 Declared a $0.60 per share cash dividend, date of record April 10. July 5 Declared a $0.60 per share cash dividend, date of record July 10. July 31 Declared a 20% stock dividend when the stock's market value was $10 per share. August 14 Issued the stock dividend that was declared on July 31. October 5 Declared a $0.60 per share cash dividend, date of record October 10. 3. What is the amount of retained earnings transferred to paid - in capital accounts (capitalized) for the stock dividend?
Transcribed Image Text:Required information Skip to question [The following information applies to the questions displayed below.] The equity sections for Atticus Group at the beginning of the year (January 1) and end of the year (December 31) follow. Stockholders' Equity (January 1) Common stock-$5 par value, 100, 000 shares authorized, 35,000 shares issued and outstanding $ 175,000 Paid - in capital in excess of par value, common stock 135,000 Retained earnings 360, 000 Total stockholders' equity $ 670,000 Stockholders' Equity (December 31) Common stock-$5 par value, 100, 000 shares authorized, 41, 200 shares issued, 4,000 shares in treasury $ 206, 000 Paid - in capital in excess of par value, common stock 166,000 Retained earnings ($50,000 restricted by treasury stock) 420, 000 792, 000 Less cost of treasury stock (50,000) Total stockholders' equity S 742,000 The following transactions and events affected its equity during the year. January 5 Declared a $0.60 per share cash dividend, date of record January 10. March 20 Purchased treasury stock for cash. April 5 Declared a $0.60 per share cash dividend, date of record April 10. July 5 Declared a $0.60 per share cash dividend, date of record July 10. July 31 Declared a 20% stock dividend when the stock's market value was $10 per share. August 14 Issued the stock dividend that was declared on July 31. October 5 Declared a $0.60 per share cash dividend, date of record October 10. 3. What is the amount of retained earnings transferred to paid - in capital accounts (capitalized) for the stock dividend?
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