Chapter 11, Problem 11.1CON

Recording and Reporting Stockholders’ Equity Transactions

Pool Corporation, Inc., is the world’s largest wholesale distributor of swimming pool supplies and equipment. It is a publicly traded corporation that trades on the NASDAQ exchange under the symbol POOL. The majority of Pool’s customers are small, family-owned businesses. The company issued the following press release:

COVINGTON, La., March 2, 2015 (GLOBE NEWSWIRE)—Pool Corporation (Nasdaq: POOL) announced today that its Board of Directors declared a quarterly cash dividend of $0.22 per share. The dividend will be payable on March 26, 2015. to holders of record on March 12, 2015.

The Company also announced in its 2014 Annual Report that it had repurchased $132.3 million of its common stock in the open market.

Required:

1. 1. Record the repurchase of shares by Pool assuming all shares were repurchased at one time.
2. 2. Prepare all necessary entries associated with the dividend. Assume that at the time of the dividend. Pool was authorized to issue 100 million shares and had 43 million shares outstanding.