12. Luke Enterprises has 300,000 shares of $20 par common stock outstanding. On January 19, Luke Enterprises declared a 3% stock dividend. The market price of the stock on January 19 was $28 per share. The journal entry to record the stock dividend would include a.a credit to Stock Dividends for $180,000. b.a debit to Stock Dividends Distributable for $252,000. C.a debit to Cash for $252,000. d.None of these choices are correct. wwwwm
Q: On October 1, Oriole Corporation's stockholders' equity is as follows. Common stock, $7 par value…
A: Par Value remains same before or after stock dividend.
Q: Sandpiper Company has 10,000 shares of cumulative preferred 2% stock, $50 par and 50,000 shares of…
A: Formula: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value…
Q: Richman Corporation has 120,000 shares of $5 par value common stock outstanding. It declared a 15%…
A: Stock Dividend - Stock Dividend is the dividend issued by the company in the form of shares. This is…
Q: During its first year of operations, Cullumber Company had the following transactions pertaining to…
A: Total cash received on Jan. 10 = No. of shares issued x pr value per share = 65000 x $5 = $325,000
Q: Court Casuals has 100,000 shares of common stock outstanding as of the beginning of the year and has…
A: The question is based on the concept of Financial Accounting.
Q: A company with 88,000 authorized shares of $8 par common stock issued 30,000 shares at $12.…
A: Retained earnings are the earning which is not distributed among shareholders in the form of…
Q: At the beginning of the current year, Hardin Company had 20,000 shares of $10 par common stock…
A: Weighted average shares outstanding is a number of shares of the company after incorporating…
Q: Windborn Company has 20,000 shares of cumulative preferred 3% stock, $100 par and 50,000 shares of…
A: Dividend distribution is a method of distribution of profit by the company to its stockholders. The…
Q: Oceanic Company has 30,000 shares of cumulative preferred 2% stock, $50 par and 50,000 shares of $25…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: On October 1, Cullumber Corporation’s stockholders’ equity is as follows. Common stock, $6 par…
A: The company raises the finance from various sources, one of them is common stock. The investor who…
Q: On January 1, Riverbed Corp had 62,300 shares of no-par common stock issued and outstanding. The…
A: Journal is a place where accounting transactions are listed in the book keeping system before ledger…
Q: Bernard Corporation has the following shares outstanding: 8,000 shares of $50 par value, six percent…
A: Dividend on common stock = no. of shares x Dividend per share = 50,000 shares x $2.20 per share =…
Q: A company with 94,000 authorized shares of $7 par common stock issued 36,000 shares at $16.…
A: Given that: Issued common shares = 36,000 shares Market price per share = $32 per share
Q: Luke Enterprises has 305,000 shares of $18 par common stock outstanding. On January 19, Luke…
A: Stock dividend result in issuance of shares of company to the existing shareholders unlike the cash…
Q: Texas Inc. has 12,000 shares of 6%, $125 par value cumulative preferred stock and 92,000 shares of…
A: To meet the financial requirement of the business, companies raise the funds through external…
Q: Texas Inc. has 12,000 shares of 8%, $125 par value cumulative preferred stock and 90,000 shares of…
A: Stock Dividends: It refers to the payment of dividends by a company to its existing shareholders, in…
Q: On January 1, Larkspur, Inc. had 93,000 shares of no-par common stock issued and outstanding. The…
A: Journal entry: This is the first step to record accounts. It is written in the same order in which…
Q: What is the entry for the dividend declaration
A: Dividend declaration: Company distribute a part of their income to its shareholder as the return on…
Q: Goggle Corporation issued 5,000 stocks of its $1 par value common stocks as a stock dividend when…
A: Stock dividend is a method of capitalizing the retained earning. Under this, no profit is…
Q: Eastline Corporation had 11,000 shares of $10 par value common stock outstanding when the board of…
A: Large stock dividend, A stock dividend is considered to be large if the new shares being issued are…
Q: Cambridge has 500,000 shares of $3 par value common stock outstanding. The current market price of…
A: Stock dividend = 500,000 shares * 15% = 75,000 shares Current market price = $225 Value of stock…
Q: Monty Inc. has 5,400,000 shares of common stock issued and outstanding. On April 1, the board of…
A:
Q: Sandpiper Company has 10,000 shares of cumulative preferred 3% stock, $50 par and 50,000 shares of…
A: Dividends are paid in two types Stock dividends and Cash dividends. Stock dividend means a payment…
Q: On April 1, Blue Devil Inc. has 300,000 shares of $20 par value common stock that are issued and…
A: a. Shares of common stock are issued and outstanding immediately following the stock split: = Common…
Q: On January 1, Swifty Corporation had 71000 shares of $10 par value common stock outstanding. On June…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: A company with 95,000 authorized shares of $7 par common stock issued 42,000 shares at $16.…
A: Dividends are calculated on Issued Shares fully paid up.In the given problem, Issued and fully paid…
Q: Emma Systems, Inc. declared and issued a 9 percent stock dividend. The company has 720,000 shares…
A: Solution: Amount of stock dividend = Outstanding shares * 9%* Market value per shar = 45668*9%*$6 =…
Q: Gordon Corporation reported the following equity section on its current balance sheet. The common…
A: A Stock Dividend is the payment of dividends in the forms of shares of the company. There are 2…
Q: Court Casuals has 300,000 shares of common stock outstanding as of the beginning of the year and has…
A: Treasury shares are those shares which are being reacquired or repurchased by business from its…
Q: Please help
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Nowell Inc. had the following stock issued and outstanding at January 1, Year 2. 1. 150,000 shares…
A: The dividend paid to the preference holders is the product of the par value of preference capital,…
Q: Global Corporation had 60,000 shares of $20 par value common stock outstanding on July 1. Later that…
A: Stock dividends are dividends paid to the shareholders in the form of shares i.e. instead of cash…
Q: Sandpiper Company has 20,000 shares of cumulative preferred 3% stock, $50 par and 50,000 shares of…
A: >Dividends are the payment to investors of stock or shares. >Usually, preferred…
Q: On October 1, Ivanhoe Corporation’s stockholders’ equity is as follows. Common stock, $5 par value…
A: Working: No. of Common stock before the stock dividend = $382,000/5 = 76,400 shares No. of Common…
Q: Atkins Company has 20,000 shares of $5 par value common stock outstanding prior to declaring a 10%…
A: Solution: Amount of stock dividend = outstanding shares *10%* market price = 20000*10%*$11 =…
Q: Miriah Inc. has 6,000 shares of 5%, $100 par value, cumulative preferred stock and 50,000 shares of…
A: Given that par value = $100 rate = 5% cumulative preferred stock = 6000 shares
Q: A company with 100,000 authorized shares of $6 par common stock issued 35,000 shares at $12.…
A: Stock dividends are payable in additional shares of the declaring corporation’s capital stock.…
Q: On October 1, Kosko Corporation’s stockholders’ equity is as follows. Common stock, $5 par value…
A: The stock dividend is a method of capitalizing retained earnings. Under the stock dividend, no…
Q: Sandpiper Company has 15,000 shares of cumulative preferred 3% stock, $100 par and S50,000 shares of…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: On January 1, Year 1, a company had the following transactions: Issued 10,000 shares of $2 par…
A: Stock Dividends: It refers to the payment of dividends by a company to its existing shareholders, in…
Q: At December 31, Gorden Corporation has total stockholders’ equity of $3,200,000. Included in this…
A: Book value per ordinary share can be defined as the ratio of shareholders' equity and the number of…
Q: A company with 100,000 authorized shares of $4 par common stock issued 40,000 shares at $8.…
A: No. of shares issued under stock dividend = No. of common stock issued x 4% = 40000 shares x 4% =…
Q: At the start of the fiscal year, Comfortable Company has 100,000 shares of its ₱10 par value common…
A: Solution: Common stock at the end of year= 120000*10 = 1,200,000 Additional paid in capital =…
Q: Gordon Corporation reported the following equity section on its current balance sheet. The common…
A: If dividend is issued in form of stock instead of cash then such dividend is called as Stock…
Q: Raphael Corporation’s balance sheet shows the following stockholders’ equity section.…
A: SOLUTION- THE DIVIDEND IS TO BE PAID TO SHAREHOLDERS FROM THE RETAINING EARNING S . AT FIRST ,…
Q: Windborn Company has 20,000 shares of cumulative preferred 2% stock, $100 par and 50,000 shares of…
A: Solution: In order to compute dividend per share for each class of stockholders, first we compute…
Q: Alpha company has 100,000 authorized shares of $5 par common stock issued 50,000 shares at $6.…
A: Dividend is always been paid on face value of shares whether it cash dividend or stock dividend.…
Q: Orson Company reports the following transactions relating to its stock accounts in the current year.…
A: Orson Company have purchased and sold common stock , preferred stock, ,treasury stock and there is…
I don't know why I got this wrong
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- Nutritious Pet Food Companys board of directors declares a large stock dividend (50%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the stock dividend distribution on July 31?Nutritious Pet Food Companys board of directors declares a large stock dividend (50%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the declaration of the dividend?Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. Open the file STOCKEQ from the website for this book at cengagebrain.com. Enter the formulas in the appropriate cells on the worksheet. Then fill in the columns to show the effect of each of the selected transactions and events listed earlier. Enter your name in cell A1. Save the completed worksheet as STOCKEQ2. Print the worksheet. Also print your formulas. Check figure: Total stockholders equity balance at 12/31/12 (cell G21). 398,800.
- Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. In the space provided below, prepare the stockholders equity section of Chen Corporations balance sheet as of December 31, 2012. Use proper headings and provide full disclosure of all appropriate information. Chens corporate charter authorizes the issuance of 1,000 shares of preferred stock and 100,000 shares of common stock.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 37 5. The bonds are classified as a held-to-maturity 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 issue d 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 (I). 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 h ad a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transaction s for the year ended December 31, 201 6, had been poste d [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 in come statement for the year ended December 31, 201 6, 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, 20 6. c. Prepare a balance sheet in report form as of December 31, 2016.The following selected transactions and events occurred during 2013: a. Issued 200 shares of preferred stock for 20,000. b. Sold 800 shares of treasury stock for 2,800. c. Declared and issued a 4% common stock dividend. The market value on the date of declaration was 5 per share. d. Generated a net loss for the year of 16,000. e. Declared and paid the full years dividend on all the preferred stock and a dividend of 15 per share on common stock outstanding at the end of the year. Enter beginning balances for 2013 on STOCKEQ2. Then erase all 2012 entries and enter the transactions for 2013. Save the results as STOCKEQ4. Print the results.
- Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements.Nutritious Pet Food Companys board of directors declares a small stock dividend (20%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the stock dividend distribution on July 31?Nutritious Pet Food Companys board of directors declares a small stock dividend (20%) on June 30 when the stocks market value per share is $30. At that time, there are 10,000 shares of $1 par value common stock outstanding (none held in treasury). What is the journal entry to record the declaration of the dividend?
- Nutritious Pet Food Companys board of directors declares a cash dividend of $1.00 per common share on November 12. On this date, the company has issued 12,000 shares but 2,000 shares are held as treasury shares. What is the journal entry to record the declaration of this dividend?Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--, the beginning of its fiscal year, are shown below. (a)Received 20,000 for the balance due on subscriptions for preferred stock with a par value of 40,000 and issued the stock. (b)Purchased 10,000 shares of common treasury stock for 18 per share. (c)Received subscriptions for 10,000 shares of common stock at 19 per share, collecting down payments of 45,000. (d)Issued 15,000 shares of common stock in exchange for land with a fair market value of 290,000. (e)Sold 5,000 shares of common treasury stock for Si00,000. (f)Issued 10,000 shares of preferred stock at 11.50 per share, receiving cash. (g)Sold 3,000 shares of common treasury stock for 17 per share. REQUIRED 1. Prepare general journal entries for the transactions, identifying each transaction by letter. 2. Post the journal entries to appropriate T accounts. The cash account has a beginning balance of 300,000. 3. Prepare the stockholders equity section of the balance sheet as of December 31, 20--. Net income for the year was 825,000 and dividends of 400,000 were paid.A corporation issued 100 shares of $100 par value preferred stock for $150 per share. The resulting journal entry would include which of the following? A. a credit to common stock B. a credit to cash C. a debit to paid-in capital in excess of preferred stock D. a debit to cash