f a company issues 10,000 shares of $2 par value common stock at a market price of $30 per share, which of the following is the correct balance sheet entry?   A. Increase revenues by $300,000   B. Increase common stock and cash by $20,000   C. Increase cash by $300,000 and increase common stock by $20,000   D. Increase cash by $300,000 and increase additional paid-in capital by $20,000

Q: A. Journalized the following transactions and prepare the Trail Balance: January, 2021 1 Pak Wheel…

A: Journal Entries Date Particulars…

Q: Data relating to the shareholders’ equity of ABC Co. during December 31 are as follows: 8%…

A: Given that, Ordinary share, 26000 shares = P1,040,000  Retained earnings = P7,000,000  Treasury…

Q: 1,000 shares of common stock with a par value of $5 is sold for $8. Which of the following is…

A: Journal entries are the building blocks of accounting, which is the act of recording the economic or…

Q: If Dakota Company issues 1,500 shares of $6 par common stock for $75,000, O Common Stock will be…

A: Lets understand the basics. Journal entry is required to make to record event and transaction that…

Q: Cases Unlimited reported operating income of $780,000, interest expense of $120,000, and net income…

A: Time interest earned ratio means the number of times a company is earing profits as compared to…

Q: On January 1, 20X1, Browning Corporation had 75,000 shares of $1 par value common stock issued and…

A: We have the following information: On January 1 20X1: Browning Corporation had 75,000 shares of $1…

Q: Hi Tech manufacturing company has 500,000 shares of $1 per value capital stock outstanding on…

A: Dividends means the portion of Earnings per share (EPS), distributed to common stockholders in form…

Q: If Dakota Company issues 1,500 shares of $6 par common stock for $75,000, O Common Stock will be…

A: Issue of common stock is one of the ways in which the companies can raise funds for financing the…

Q: A company sold 10,000 shares of its own $1 par value common stock for $60,000. The entry to record…

A: A journal entry is a form of accounting entry that is used to report a business transaction in a…

Q: A company with 100,000 authorized shares of $4 par common stock issued 40,000 shares at $8.…

A: Stock dividend is dividend payment made to shareholders by company in the mode of shares rather than…

Q: A company issued 30 shares of $.50 par value common stock for $12,000. The credit to additional…

A: Additional paid-in capital is the excess amount over the par value.

Q: A company issued 30 shares of $.50 par value common stock for $12,000. The credit to additional…

A: Introduction: Common stock: Company raises capital by issuing common stock to the public. Splitting…

Q: Ogilvie Corp. issued 30,000 shares of no-par stock for $40 per share. Ogilvie was authorized to…

A: Entry for stock issued: Cash a/c Dr $1,200,00      To Paid in excess capital a/c $1,200,000

Q: Read & Learn Company has $1,000,000 shares of 10%, $20 Par Value Preferred Stock outstanding. On…

A: Number of Preferred Stock outstanding on 15th December = 1,000,000 shares Therefore, Number of…

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: If Dakota Company issues 1,500 shares of $6 par common stock for $75,000, O Common Stock will be…

A: Journal entry: A journal entry is used to record day-to-day transactions of the business by debiting…

Q: A company with 100,000 authorized shares of $4 par common stock issued 50,000 shares at $9.…

A: Stock dividend means issue of shares instead of giving cash dividend. It also called as…

Q: A. Journalized the following transactions and prepare the Trail Balance: January, 2021 1 Pak Wheel…

A: The following computations are done for Pak Wheel Corporation.

Q: At December 31, the stockholders’ equity section shows: Ordinary share capital, P10 par value;…

A: At December 31, the Stockholders’ equity section shows:  Ordinary share capital, P10 par value…

Q: If Salman Company issues 16,000 shares of 10 par value common stock for 560,000 Paid-In Capital in…

A: Journal Entries can be defined as the record-keeping of the transactions of a company or an…

Q: DY Corporation declared the regular quarterly dividend of P2 per share.  It had issued12,000 shares…

A: Shares outstanding = Shares issued - Treasury stock Shares outstanding = 12,000 - 2,000 Shares…

Q: If Jackson Furniture Company issues 5,000 shares of $5 par value common stock for $210,000 current…

A: When common stock is issued to the general public at an issue price more than par value, the…

Q: Assume that a company paid $6 per share to purchase 1,100 shares of its $3 par common stock as…

A: Total equity will be decreased by = No. of common stock purchased as treasury stock x Amount paid…

Q: If Dakota Company issues 3,200 shares of $10 par common stock for $57,600, Oa. Cash will be debited…

A: Issue of shares Issue of Shares is the process by which companies pass on new shares to…

Q: Torres Inc. issues 40,000 shares of its $0.05 par value common stock for $70 per share. The journal…

A: To record issue of shares at a value more than par value, common stock will be credited by par value…

Q: Jordan Company has 1,000 shares of $50 par value, 5% cumulative preferred stock and 50,000 shares of…

A: Given data, Cumulative preferred stock =1,000 shares of $50 Common stock =50,000 shares of $10 Cash…

Q: common stock($3 par value) -$60,000, capital surplus- 250,000, retained earnings- 610,000, total…

A: Introduction: Stock dividend: when company does not have sufficient cash to pay cash dividends…

Q: A corporation sold 13,500 shares of its $10 par value common stock at a cash price of $14 per share.…

A: Common Stock - Common Stock is the stock issued to the common shareholder's of the company.

Q: At December 31, the stockholders’ equity section shows: Ordinary share capital, P5 par value;…

A: Shareholder is someone who contributes to the capital of a business.

Q: 17) When a company issues 25,000 shares of $1 par value common stock for $10 per share, the journal…

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: A company issued 30 shares of $.50 par value common stock for $12,000. The credit to additional…

A: When company issue it's share excess than Par value of Shares. Then the amount excess of Par value…

Q: A company issues 10,000 shares of $0.05 par value common stock for $25 per share. Which of the…

A: Definition: Common stock: Common stock is the instrument used by the company for raising funds from…

Q: A company has an authorized capital of 10,000 common shares of $10 par value and 7,500 common shares…

A: Stockholders’ equity is the measure of assets staying in a business after the sum total of the…

Q: A corporation sold 9,500 shares of its $10 par value common stock at a cash price of $11 per share.…

A: >Issuance of common stock is one of the Financing activity from which the corporation gets Cash…

Q: A company declared cash dividends of $0.20 per share. If there are 500,000 shares of common stock…

A: Dividend is the return that the company provides to the stockholders as a consideration for…

Q: A company has 1,000 shares of $100 par value, 4.5% cumulative and non- participating preferred stock…

A: Preferred stock: This is a form of ownership in which the holders would get a part of the ownership…

Q: „If Salman Company issues 16,000 shares of 10 par value common stock for 560,000 Paid-In Capital in…

A:

Q: XYZ Company has 100,000 shares of stock outstanding. On January 1, 200X XYZ Company declared a cash…

A: Amount of dividend declared = No. of shares outstanding x dividend per share = 100000 x $0.50 =…

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: If Dakota Company issues 1,500 shares of $6 par common stock for $75,000, O Common Stock will be…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

Q: company has 1,000 shares of $50 par value, 4.5% cumulative, preferred stock and 10,000 shares of $10…

A: As per IAS 33, Earnings per share standard Cumulative Preferred stockholders will be eligible  for…

Q: On Jan. 2, Year 1, Pfizer Drug Company a major manufacturer of generic drugs issued 20,000 shares of…

A: Total cash proceeds from the issue of common stock = No. of common stock issued x issue price per…

Q: Bandit, Inc., issued for $19 per share 5,000 shares of $10 par value common stock.  The entry to…

A: On the issue of common stock over its par value, the common stock is recognized at par, and the…

Q: At December 31, the stockholders’ equity section shows: Ordinary share capital, P5 par value;…

A: Book Value Per Share:- It is the ratio of a firm's common equity divided by its number of shares…

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: If  my company has in my capital(equity accounts common stock($1 par, 100,000 shares outstanding)…

A: The board of director has declared a 20 percent stock dividend on january 1 and a 0.25 cash dividend…

Q: Luke Enterprises has 300,000 shares of $20 par common stock outstanding. On January 19, Luke…

A: Working note 1: Determine the amount of stock dividend to be paid.   Particulars   Number…

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.