E11-20 (Algo) Recording the Payment of Dividends LO11-3, 11-4 A recent annual report for Malestrom Incorporated disclosed that the company declared and paid dividends on common stock in the amount of $1.30 per share. During the year, Malestrom had 1,012,000,000 authorized shares of common stock and 191,320,000 issued shares. There is no treasury stock. Required: Assume Malestrom declared the entire dividend ($1.30 per share) on February 20 and subsequently paid the dividend on March 1. Prepare the journal entries to record the declaration and payment of dividends. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars not in millions (i.e., 1,000,000 not 1.0).
E11-20 (Algo) Recording the Payment of Dividends LO11-3, 11-4 A recent annual report for Malestrom Incorporated disclosed that the company declared and paid dividends on common stock in the amount of $1.30 per share. During the year, Malestrom had 1,012,000,000 authorized shares of common stock and 191,320,000 issued shares. There is no treasury stock. Required: Assume Malestrom declared the entire dividend ($1.30 per share) on February 20 and subsequently paid the dividend on March 1. Prepare the journal entries to record the declaration and payment of dividends. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in whole dollars not in millions (i.e., 1,000,000 not 1.0).
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:E11-20 (Algo) Recording the Payment of Dividends LO11-3, 11-4
A recent annual report for Malestrom Incorporated disclosed that the company declared and paid dividends on common stock in the
amount of $1.30 per share. During the year, Malestrom had 1,012,000,000 authorized shares of common stock and 191,320,000 issued
shares. There is no treasury stock.
Required:
Assume Malestrom declared the entire dividend ($1.30 per share) on February 20 and subsequently paid the dividend on March 1.
Prepare the journal entries to record the declaration and payment of dividends.
Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers
in whole dollars not in millions (i.e., 1,000,000 not 1.0).
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