On December 31, 2014, Brave Corporation reported the following on its balance sheet: Cash $22,000 Treasury stock ($8 per share, at cost) (16,000) Retained earnings 130,000 Common stock, par $5: authorized 100,000 shares) 400,000 Capital in excess of par ? Total contributed capital 540,000
Q: Manuel Santander Inc. began operations in January 2012 and reported the following results for each…
A: Manuel Santander Inc.'s Began operations in January 2012 and reported the following reported the…
Q: Horton Co. was organized on January 2, 2012, with 500,000 authorized shares of P10 par value common…
A: January 5 Cash Ac Dr. 5250000 to Share capital 3750000…
Q: The following items were shown on the balance sheet of Westwind Corporation on December 31, 2017:…
A: SOLUTION- 1-COMMON STOCK IS AMOUNT OF STOCK PURCHASED BY THE OWNER OF THE COMPANY. 2-WHEN THE COMMON…
Q: On January 1, 2015, Visaries Corporation was established. On that day, it issued 200,000 shares at a…
A: Common stock par value = $ 10 Issued price = $ 15 Paid in capital in excess of par common stock =…
Q: December 31, 2017, Raja Corporations's balance sheet reported the following: Stockholders' Equity…
A: Solution Concept Cost method of accounting for treasury stock While using the Cost method of…
Q: At December 31, 2015, the balance sheet of Meca International included the following shareholders’…
A: 1.
Q: Zelienople Co. reported the following information at December 31, 2016: Preferred stock, $10 par,…
A: The organization can raise funds for the operation song integrity by issuing common stock, preferred…
Q: On December 31, 2014, Brave Corporation reported the following on its balance sheet: Cash 22,000…
A: Share premium is the excess amount paid or received over the par value of share.
Q: 3. Miami Heat Inc. began operations in January2017, and reported the following results for each of…
A: Cumulative Preferred Stock: It is a type of preferred stock where any dividend payments is being…
Q: opez Corporation reported the following in its December 31, 2009 balance sheet: Common stock , par…
A: Retained Earnings is the excess income generated by the company which will be used by the business…
Q: The data below are from the December 31, 2017, balance sheet of CAREBEAR CO Common stock, P10 par…
A: No. of common stock = Common stock value / Par value per share = P500,000 / P10 = 50,000 shares
Q: On December 31, 2017, Zero Co. showed the following shareholders' equity: Share capital, P100 par,…
A: The dividend is declared from the retained earnings of the business. The dividend is paid only for…
Q: The Michael Company's stockholders' equity accounts have the following balances as of December 31,…
A: Outstanding shares = Shares issued - Treasury stock Outstanding shares = 25,000 - 2,000 Outstanding…
Q: The following items were shown on the balance sheet of Easton Corporation on December 31, 2018:…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: Southeast Systems has the following balance sheet and the income statement. The company had 10…
A: Days sales outstanding (DSO) is a measure of the average number of days that it takes a company to…
Q: outstanding
A: net cash flow from operating activity for 2014 :
Q: Amel Corporation was organized on January 1, 2015, with an authorization of 1,200,000 shares of…
A: Every company raises finance by way of issue of shares. These can be ordinary shares or preference…
Q: Horton Co. was organized on January 2, 2012, with 500,000 authorized shares of P10 par value common…
A: Paid-in Capital from the Treasury Stock account is the excess amount over the purchased price of the…
Q: ABC Corporation was organized on January 3, 2007, with authorized capital of 100,000 shares of P10…
A: January 7 :- Common stock = 40,000 x 10 = 400,000 Additional paid in capital =…
Q: Southeast Systems has the following balance sheet and the income statement. The company had 10…
A: Book value of the company is the total asset of the company after repaying all its liabilities.…
Q: On March 31, 2017, Park Place, Inc. shows the following data on its balance sheet:…
A: Computation of Value of treasury stock
Q: Jay-ar Corp. issued 20,000 shares of P5 par common stock at P10 per share. On December 31, 2017,…
A: when we prepare the balance sheet of the company then generally there are two category equity and…
Q: Barbie Co. was organized on January 2, 2015, with 500,000 authorized shares of P10 par value common…
A: Treasury stock: Shares that are bought back by the company from the open market but not retired from…
Q: What are the values of the current ratio and the quick ratio for 2014?
A: Those assets that can be liquidated or converted in cash within a year term as current assets. Those…
Q: The following information is from the balance sheet of Tudor Corporation as of Preferred stock, $100…
A: Contributed capital is the amount contributed by the shareholder to become the shareholder of the…
Q: profit margin (PM), ROA, and ROE for 2014?
A: Formula to calculate net profit margin is given as follows: Net income/sales revenue*100 Formula for…
Q: Southeast Systems has the following balance sheet and the income statement. The company had 10…
A: Calculate the D/E ratio as shown below: Hence, the D/E ratio is 1.9375.
Q: The Meg Company began operations in January 2013 and reported the following results for each of its…
A: The question is based on the concept of Financial Accounting.
Q: The Royal Corporation reported profit for 2012 of P177,500. Royal began the year with 100,000 shares…
A: Basic earnings per share means how much net income is attributable to each equity share in the…
Q: December 31, 2015, Raja Corporations' balance sheet reported the following: Stockholders' Equity…
A: The treasury stock are the own shares repurchased by the company from the market.
Q: Southeast Systems has the following balance sheet and the income statement. The company had 10…
A: Common-size value of accounts receivable for 2014 = Accounts receivable of 2014 / Total assets of…
Q: Andoy Corp. was organized on January 1, 2017 with authorized capital of 100,000 ordinary shares, P20…
A: Total ordinary share premium = No. of shares issued x (Issue price - par value per share)
Q: On January 1, 2022, the stockholders’ equity section of Metlock, Inc. shows common stock ($5 par…
A: Treasury stock: Shares which are bought back by the company from the open market but not retired…
Q: Andoy Corp. was organized on January 1, 2017 with authorized capital of 100,000 ordinary shares, P20…
A: Share premium represents the value higher than par value of the shares issued.
Q: Southeast Systems has the following balance sheet and the income statement. The company had 10…
A: Earning per share: Earning per share is also called as EPS. It is one of the important measure of…
Q: On January, 2009, the accounts of Mac Corporation showed the following: Common stock, par P1…
A: The stockholders' equity section of the firm includes the common share capital, preferred share…
Q: On January 1, 2021, the stockholders' equity section of Seef Inc. was as follows: Common stock ($10…
A: Treasury stock is the company's shares that are purchased by the company from the market. These…
Q: Shown below are account balances found in the ledger of Emerald Green Corporation at the end of…
A: Share refers to the smallest unit of the total capital of a company.
Q: In December 31, 2009, Brave Corporation reported the following: Cash…
A: The stockholders' equity section is the part of the balance sheet of the firm which is reported…
Q: On January 1, 2016, the accounts of Mac Corporation showed the following: Common stock, par $1,…
A: Working: Number of shares issued and outstanding at beginning =Capital in excess of par value / per…
Q: Triad declared and paid a P25,000 cash dividend on December 15, 2008. If the company's dividends in…
A: Dividend paid = P25,000 Arrears = P6,000 Dividend of this year = P19,000
Q: On January 1, 2021, Covid, Inc. had the following account balances in its shareholders' equity…
A: Working notes of statement of other equity is as follows: Resultant table:
Q: On January 1, 2016, Fascom had the following account balances in its shareholders' equity accounts.…
A: Stockholder's equity refers to the amount of assets which is left in the organization after paying…
Q: During the first year Zidux corp issued 80,000 shares of $4 par value common stock at a price of $50…
A: Paid in capital common stock has the element of preferred and common stock and can be known as…
Q: On December 31, 2017, Berclair Inc. had 200 million shares of common stock and 3 million shares of…
A: Earnings per share (EPS): The amount of net income available to each shareholder per common share…
Q: On January 1, 2010, the accounts of Mac Corporation showed the following: Common stock, par SI,…
A: The stockholders equity section of the balance sheet is as follows:
Q: The shareholders' equity section of Superior Corporation's balance sheet as of December 31, 2015, is…
A: The question is based on the concept of Financial Accounting.
On December 31, 2014, Brave Corporation reported the following on its balance sheet: Cash $22,000
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- 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.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.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.
- Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 0 par common stock at 0, 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 375. The bonds are classified as a held- to-maturitv 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 545, including commission. p. Recorded the payment of semiannual interest on the bonds issued 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 (1). 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 had a beginning balance of zero. Instructions Journalize the selected transactions. After all of the transactions for the year ended December 31, 2016, had been posted [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 income statement for the year ended December 31, 2016, 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, 2016. c. Prepare a balance sheet in report form as of December 31, 2016. Income statement data: Advertising expense 150,000 Cost of merchandise sold 3,700,000 Delivery expense 30,000 Depreciation expense -office buildings and equipment 30,000 Depreciation expensestore buildings and equipment 100,000 Dividend revenue 4,500 Gain on sale of investment 4,980 Income from Pinkberry Co. investment 76,800 Income tax expense 140,500 Interest expense 21,000 Interest revenue 2,720 Miscellaneous administrative expense 7.500 Miscellaneous selling expense 14,000 Office rent expense 50,000 Office salaries expense 170,000 Office supplies expense 10,000 Sales 5,254,000 Sales commissions 185,000 Sales salaries expense 385,000 Store supplies expense 21,000 Retained earnings and balance sheet data: Accounts payable 194,300 Accounts receivable 545,000 Accumulated depreciationoffice buildings and equipment 1,580,000 Accumulated depreciationstore buildings and equipment 4,126,000 Allowance for doubtful accounts 8,450 Available for sale investments (at cost) 260,130 Bonds payable. 5%. due 2024 500,000 Cash 246,000 Common stock, 20 par (400,000 shares authorized; 100,000 shares issued. 94,600 outstanding) 2,000,000 Dividends: Cash dividends for common stock 155,120 Cash dividends for preferred stock 100,000 Goodwill 500,000 Income tax payable 44,000 Interest receivable 1,125 Investment in Pinkberry Co. stock (equity method) 1,009,300 Investment in Dream Inc. bonds (long term) 90,000 Merchandise inventory [December 31, 2016). at lower of cost (FIFO) or market 778,000 Office buildings and equipment 4.320,000 Paid-in capital from sale of treasury stock 13,000 Excess of issue price over parcommon stock 886,800 Excess of issue price over parpreferred stock 150,000 Preferred 5% stock. 80 par (30,000 shares authorized; 20,000 shares issued] 1,600,000 Premium on bonds payable 19,000 Prepaid expenses 27,400 Retained earnings, January 1, 2016 9,319,725 Store buildings and equipment 12,560,000 Treasury stock (5,400 shares of common stock at cost of 33 per share) 178,200 Unrealized gain (loss) on available for sale investments (6,500) Valuation allowance for available for sale investments (6,500)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 375. The bonds are classified as a heldtomaturity 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 issued 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 (l). 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 had a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transactions for the year ended December 31, 2016, had been posted [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 income statement for the year ended December 31, 2016, 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, 2016. c. Prepare a balance sheet in report form as of December 31, 2016.The following selected accounts appear in the ledger of EJ Construction Inc. at the beginning of the current fiscal year: During the year, the corporation completed a number of transactions affecting the stockholders equity. They are summarized as follows: a. Issued 500,000 shares of common stock at 8, receiving cash. b. Issued 10,000 shares of preferred 1% stock at 60. c. Purchased 50,000 shares of treasury common for 7 per share. d. Sold 20,000 shares of treasury common for 9 per share. e. Sold 5,000 shares of treasury common for 6 per share. f. Declared cash dividends of 0.50 per share on preferred stock and 0.08 per share on common stock. g. Paid the cash dividends. Instructions Journalize the entries to record the transactions. Identify each entry by letter.
- Kent Corporation was organized on January 1, 2014. On that date, it issued 200,000 shares of 10 par value common stock at 15 per share (400,000 shares were authorized). During the period January 1, 2014, through December 31, 2019, Kent reported net income of 750,000 and paid cash dividends of 380,000. On January 5, 2019, Kent purchased 12,000 shares of its common stock at 12 per share. On December 28, 2019, 8,000 treasury shares were sold at 8 per share. Kent used the cost method of accounting for treasury shares. What is Kents total shareholders equity as of December 31, 2019? a. 3,290,000 b. 3,306,000 c. 3,338,000 d. 3,370,000During 20X2, Evans Company had the following transactions: a. Cash dividends of 6,000 were paid. b. Equipment was sold for 2,880. It had an original cost of 10,800 and a book value of 5,400. The loss is included in operating expenses. c. Land with a fair market value of 15,000 was acquired by issuing common stock with a par value of 3,600. d. One thousand shares of preferred stock (no par) were sold for 4.20 per share. Evans provided the following income statement (for 20X2) and comparative balance sheets: Required: Prepare a worksheet for Evans Company.Ponce Towers, Inc., had 50,000 shares of common stock and 10,000 shares of 100 par value, 8% preferred stock outstanding on January 1, 2011. Each share of preferred stock is convertible into four shares of common stock. The stock has not been converted. During the year, Ponce Towers issued additional shares of common stock as follows: For 2011, Ponce Towers, Inc., had income from continuing operations of 545,000 and a 72,000 loss from discontinued operations (net of tax). As vice president of finance for the firm, you have been asked to calculate earnings per share for 2011. The worksheet EPS has been provided to assist you.
- 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.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.On January 1, 2019, Kittson Company had a retained earnings balance of 218,600. It is subject to a 30% corporate income tax rate. During 2019, Kittson earned net income of 67,000, and the following events occurred: 1. Cash dividends of 3 per share on 4,000 shares of common stock were declared and paid. 2. A small stock dividend was declared and issued. The dividend consisted of 600 shares of 10 par common stock. On the date of declaration, the market price of the companys common stock was 36 per share. 3. The company recalled and retired 500 shares of 100 par preferred stock. The call price was 125 per share; the stock had originally been issued for 110 per share. 4. The company discovered that it had erroneously recorded depreciation expense of 45,000 in 2018 for both financial reporting and income tax reporting. The correct depreciation for 2018 should have been 20,000. This is considered a material error. Required: 1. Prepare journal entries to record Items 1 through 4. 2. Prepare Kittsons statement of retained earnings for the year ended December 31, 2019.