Q: The stockholders' equity accounts of Martinez Corp. on January 1, 2022, were as follows. Preferred…
A: As per Accounting Equation,Assets =Liabilities +Paid-in Capital – Treasury Stock + Revenues –…
Q: The equity section of Cyril Corporation’s balance sheet shows the following. Preferred stock—6%…
A: Book Value (BV) Per Share represents the value of shareholder’s equity per share. Since, the actual…
Q: Kaido Company showed the following data: Share capital, par value P100, 50,000 shares issued…
A: A journal entry is the first step in chronicling financial transactions in the books of business…
Q: At the beginning of the current year, WELL Co. had 200,000 ordinary shares and 100,000, 4% par value…
A: Dividend to preference shares = 100,000 shares x P100 per share x 4% = P400,000 Calculation of…
Q: At the beginning of current year, Cash Company reported the following shareholders' equity: Share…
A: Calculation of balance of Unappropriated Retained earnings at the end of year Amount (In P)…
Q: Fox Corporation had the following stockholders' equity amounts on January 1,: Preferred Stock, 5%,…
A: For the purpose of recording transactions of the business, they are recorded in a journal first.…
Q: Hoyt Corp.'s current balance sheet reports the following equity: 5% cumulative preferred stock, par…
A: Book value per share: This is a financial ratio that measures the value of shareholders’ equity…
Q: The shareholders’ equity of HUE Corporation on December 31 of the current year is shown below.…
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: Cabuslay Company showed the following shareholders’ equity on December 31, 2021: Ordinary share…
A: Book Value is the value of cost of Asset/ Capital accounted for in the financial statements or books…
Q: Compute the book value per share of the common stock.
A:
Q: Prepare journal entries to record the following transactions: a. Sold 14,000 shares of the…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Presented below is the equity section of Coca-Cola Corporation at December 31, 2022: Share…
A: Stockholder's Equity - Stockholder's Equity includes the amount contributed by shareholders issued…
Q: The shareholders' equity of HUE Corporation on December 31 of the current year is shown below.…
A: Company means the form of business where management is separately from owner and have perpetual…
Q: The following is the abstract of the shareholders' equity of Shake Corporation before declaration of…
A: Working note: Computation of preference dividend per annum: Preference dividend per annum=Par value…
Q: appear in the ledger of Parks Construction Inc. at the beginning of the current year: Preferred 1%…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: An entity provided the following data for the current year: Net Income – P 4,000,000 Ordinary…
A: In the context of the given question, we are required to compute the incremental EPS of the…
Q: Red Inc., has the following information: 9% Preference share, 2,000 shares outstanding P220,000;…
A: The question is related to calculation of dividend per ordinary shares. The total dividend declared…
Q: The balance sheet of Wireless, Inc., reported the following:6 Preferred stock, 9%, $20 par, 1,300…
A: Book value per share is calculated by dividing the amount of common stocks to the number of shares…
Q: Metro Company provided the following data at year-end 12% Preference share capital, 20,000 shares,…
A: solution given Ordinary share capital 5,000,000 Number of ordinary share 50,000…
Q: The balance sheet of Wireless, Inc., reported the following:6 Preferred stock, 9%, $20 par, 1,300…
A: Book value per share shows the ratio of amount of equity available to common stockholders divided by…
Q: An entity provided the following data for the current year: Net Income – P 4,000,000 Ordinary…
A: Calculating Diluted EPS 48000 stock options would increase the number of outstanding shares by…
Q: The balance sheet of Wireless, Inc., reported the following:6 Preferred stock, 9%, $20 par, 1,300…
A: Book value per share of the common stock = Total equity available for Common stockholders / No. of…
Q: The balance sheet of Wireless, Inc., reported the following: Preferred stock, 9%, $20 par, 1,300…
A: Definition: Book value per share: Book value per share refers to the amount of equity a common…
Q: :(a) Purchased 400 shares of capital stock to be held as treasury stock, paying $60 per share.(b)…
A:
Q: Flagstad Inc. presented the following data. Net income $2,500,000 Preferred stock: 50,000…
A: Weighted average outstanding Common stock = (750,000 + 300,000*8/12 - 150,000*5/12)*2/1 = 1,775,000…
Q: An entity provided the following data for the current year: Net Income – P 4,000,000 Ordinary…
A: Basic EPS = net income/ No. of Shares Outstanding = 4000000/250000 = P 16
Q: The following are data pertaining to ABC Corporation: Ordinary share Capital, with par value of P50,…
A: Journal Entry Date Particulars Debit (in P) Credit (in P) Agu -10 Treasury ( 4000 x 60 )…
Q: The following is the abstract of the shareholders' equity of Shake Corporation before declaration of…
A:
Q: The following data pertain to Kool Corporation Ordinary Share Capital, with par value of P25 20,000…
A: A company may urge to reduce the outstanding stock in the market and repurchase the previously…
Q: The following is the abstract of the shareholders' equity of Shake Corporation before declaration of…
A: Participating Preference Shares: There holders have the right to receive dividends which is equal…
Q: Micellar Company had the following available information as of December 31, 2021: Preferred Share…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Telanor Corporation reported net income of $300 million and a weighted average of 60,000,000 common…
A: The question is related to Earnings per Share and diluted EPS. Required Calculate Diluted EPS
Q: Thunder Yard's total stockholders' Equity is P5,600.000, comprised of the following: • P1,000,000 in…
A: The preferred Shareholders have the priority to receive the dividend at the first before any other…
Q: The following is the abstract of the shareholders' equity of Shake Corporation before declaration of…
A: Par value of preference shares = 30,000 shares x P80 = P2,400,000 Par value of equity shares =…
Q: The records of Alamo Corporation showed the loilowing data Ordinary share capital, par P50…
A: The dividend is paid to shareholders from the retained earnings of the business.
Q: Tezos Co. reported the following capital structure at the beginning of the current year: Ordinary…
A: Net income means PAT i.e Profit after taxation. Particulars Amount PAT 1,920,000 Less:…
Q: ezos Co. reported the following capital structure at the beginning of the current year= ordinary…
A: EPS is calculated by taking into account the earnings available for equity shareholders. WHERE,…
Q: Raphael Corporation's balance sheet shows the following stockholders' equity section. Preferred…
A: Meaning of Book Value per Share of Common Stock The book value per common share is a financial ratio…
Q: CFAS Company showed the following information from its shareholders' equity at year-end before the…
A: Accounting Entry to be made: General Journal Debit Credit Common Stock (5100 shares * P125)…
Q: How much will be the total shareholders' equity from the following: 6% Preference shares, P50 par,…
A: The shareholder's equity includes the share capital issued to shareholders and retained earnings…
Q: The following capital accounts are shown in the statement of financial position of George…
A: Amount debited to accumulated profit and losses account = Cost of treasury stock - Sale value of…
Q: The following is the abstract of the shareholders' equity of Shake Corporation before declaration of…
A: Preference shares (preferred stock) are company stock with dividends that are paid to shareholders…
Q: The following is the abstract of the shareholders' equity of Shake Corporation before declaration of…
A: Preference shares are share that is preferred above common stock in terms of obtaining dividends and…
The
Common Stock, $20 par, 123,750 shares issued & outstanding$2,475,000
Additional Paid-in Capital in Excess of Par$ 350,000
The preferred stock is cumulative, participating and 4 years in arrears. A $380,000 cash dividend is declared.
Required: Determine how much of the dividend will be paid to the preferred and common stockholders.
Preferred Stockholders: _______________Common Stockholders: ________________
Step by step
Solved in 2 steps
- Given the following year-end information, compute Greenwood Corporations basic and diluted earnings per share. Net income, 15,000 The income tax rate, 30% 4,000 shares of common stock were outstanding the entire year. shares of 10%, 50 par (and issuance price) convertible preferred stock were outstanding the entire year. Dividends of 2,500 were declared on this stock during the year. Each share of preferred stock is convertible into 5 shares of common stock.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.Raun Company had the following equity items as of December 31, 2019: Preferred stock, 9% cumulative, 100 par, convertible Paid-in capital in excess of par value on preferred stock Common stock, 1 stated value Paid-in capital in excess of stated value on common stock| Retained earnings The following additional information about Raun was available for the year ended December 31, 2019: 1. There were 2 million shares of preferred stock authorized, of which 1 million were outstanding. All 1 million shares outstanding were issued on January 2, 2016, for 120 a share. The preferred stock is convertible into common stock on a 1-for-1 basis until December 31, 2025; thereafter, the preferred stock ceases to be convertible and is callable at par value by the company. No preferred stock has been converted into common stock, and there were no dividends in arrears at December 31, 2019. 2. The common stock has been issued at amounts above stated value per share since incorporation in 2002. Of the 5 million shares authorized, 3,580,000 were outstanding at January 1, 2019. The market price of the outstanding common stock has increased slowly but consistently for the last 5 years. 3. Raun has an employee share option plan where certain key employees and officers may purchase shares of common stock at 100% of the marker price at the date of the option grant. All options are exercisable in installments of one-third each year, commencing 1 year after the date of the grant, and expire if not exercised within 4 years of the grant date. On January 1, 2019, options for 70,000 shares were outstanding at prices ranging from 47 to 83 a share. Options for 20,000 shares were exercised at 47 to 79 a share during 2019. During 2019, no options expired and additional options for 15,000 shares were granted at 86 a share. The 65,000 options outstanding at December 31, 2019, were exercisable at 54 to 86 a share; of these, 30,000 were exercisable at that date at prices ranging from 54 to 79 a share. 4. Raun also has an employee share purchase plan whereby the company pays one-half and the employee pays one-half of the market price of the stock at the date of the subscription. During 2019, employees subscribed to 60,000 shares at an average price of 87 a share. All 60,000 shares were paid for and issued late in September 2019. 5. On December 31, 2019, there was a total of 355,000 shares of common stock set aside for the granting of future share options and for future purchases under the employee share purchase plan. The only changes in the shareholders equity for 2019 were those described previously, the 2019 net income, and the cash dividends paid. Required: Prepare the shareholders equity section of Rauns balance sheet at December 31, 2019. Substitute, where appropriate, Xs for unknown dollar amounts. Use good form and provide full disclosure. Write appropriate notes as they should appear in the publisher financial statements.
- Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--, the beginning of its fiscal year, are shown below. Preferred stock subscriptions receivable 50,000 Preferred stock, 10 par, 9% (200,000 shares authorized; 20,000 shares issued)200,000 Preferred stock subscribed (10,000 shares)100,000 Paid-in capital in excess of parpreferred stock40,000 Common stock, 10 par (100,000 shares authorized; 60,000 shares issued)600,000 Paid-in capital in excess of parcommon stock250,000 Retained earnings750,000 During 20--, Gonzales Company completed the following transactions affecting stockholders equity: (a) Received 20,000 for the balance due on subscriptions for 4,000 shares of 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 100,000. (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.Alert Companys shareholders equity prior to any of the following events is as follows: The company is considering the following alternative items: 1. An 8% stock dividend on the common stock when it is selling for 30 per share. 2. A 30% stock dividend on the common stock when it is selling for 32 per share. 3. A special stock dividend to common shareholders consisting of 1 share of preferred stock for every 100 shares of common stock. The preferred stock and common stock are selling for 123 and 31 per share, respectively. 4. A 2-for-1 stock split on the common stock, reducing the par value to 5 per share (assume the same date for declaration and issuance). The market price is 30 per share on the common stock. 5. A property dividend to common shareholders consisting of 100 bonds issued by West Company. These bonds are carried on the Alert Company books as an available-for sale investment at a fair value of 48,000 (which is also its cost); it has a current value of 54,000. 6. A cash dividend, consisting of a normal dividend and a liquidating dividend, on both the preferred and the common stock. The 10% preferred dividend includes a 2% liquidating dividend, and the 2.30 per share common dividend includes a 0.30 per share liquidating dividend (separate liquidating dividend contra accounts should be used). Required: For each of the preceding alternative items: 1. Record (a) the journal entry at the date of declaration and (b) the journal entry at the date of issuance. 2. Compute the balances in the shareholders equity accounts immediately after the issuance (any gains or losses are to be reflected in the retained earnings balance; ignore income taxes).Outstanding Stock Lars Corporation shows the following information in the stockholders equity section of its balance sheet: The par value of common stock is S5, and the total balance in the Common Stock account is $225,000. There are 13,000 shares of treasury stock. Required: What is the number of shares outstanding? Use the following information for Exercises 10-58 and 10-59: Stahl Company was incorporated as a new business on January 1, 2019. The company is authorized to issue 600,000 shares of $2 par value common stock and 80,000 shares of 6%, S20 par value, cumulative preferred stock. On January 1, 2019, the company issued 75,000 shares of common stock for $15 per share and 5,000 shares of preferred stock for $25 per share. Net income for the year ended December 31, 2019, was $500,000.
- 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.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.
- 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.STATED VALUE, COMMON AND PREFERRED STOCK, AND NONCASH ASSETS Dans Hobby Stores had the following stock transactions during the year: (a) Issued 5,000 shares of no-par common stock with a stated value of 10 per share for 50,000 cash. (b) Issued 6,000 shares of no-par common stock with a stated value of 10 per share for 63,000 cash. (c) Issued 3,500 shares of no-par, 6% preferred stock with a stated value of 22 per share for 77,000 cash. (d) Issued 10,000 shares of 10 par common stock for land with a fair market value of 100,000. (e) Issued 11,000 shares of 10 par common stock with an 11 fair market value for a building with an uncertain fair market value. (f) Issued 8,000 shares of 30 par, 6% preferred stock for land with a fair market value of 243,000. REQUIRED Prepare general journal entries for these transactions, identifying each by letter.Silva Company is authorized to issue 5,000,000 shares of $2 par value common stock. In its IPO, the company has the following transaction: Mar. 1, issued 500,000 shares of stock at $15.75 per share for cash to investors. Journalize this transaction.