Prepare journal entries to record the following transactions involving the short-term stock investments of Duke Co., all of which occurred during the current year. a. On March 22, purchased 1,000 shares of RPI Company stock at $10 per share. Duke’s stock investment results in it having an insignificant influence over RPI. b. On July 1, received a $1 per share cash dividend on the RPI stock purchased in part a. c. On October 8, sold 50 shares of RPI stock for $15 per share.
Q: Yerbury Corp. manufactures construction equipment. Journalize the entries to record the following…
A: Working Notes: (1000 shares * $40 per share) + $500 brokerage commission Cash dividend: 1000 shares…
Q: Yerbury Corp. manufactures construction equipment. Journalize the entries to record the following…
A: Equity investments: Equity investments are stock instruments which claim ownership in the investee…
Q: On May 3, Zirbal Corporation purchased 4,000 shares of its own stock for $36,000 cash. On November…
A: sometime companies purchase share of their own stock from other stock holder of the company. such…
Q: A new staff accountant for the McCollum Corporation recorded the following journal entries during…
A: Prepare the journal entries to record the given transactions:Record the donated assets received by…
Q: On September 1, 1,500 shares of M Company stock are acquired at a price of $24 per share plus a $40…
A: Definition: Dividends: This is the amount of cash distributed to stockholders by a company out its…
Q: On September 1, 1,500 shares of M Company stock are acquired at a price of $24 per share plus a $40…
A: When any security is acquired ,the cost of acquisition would include all brokerage and commission…
Q: Required information [The following information applies to the questions displayed below.] The…
A: 1. Accounting Equation - Accounting Equation is calculated using following equation - Assets =…
Q: Glacier Products Inc. is a wholesaler of rock climbing gear. The company began operations on January…
A: Following are the stock investment transaction, equity method and available-for-sale securities:
Q: On November 1 of the current year, Rob Elliot invested $30.500.00 of his cash to form a corporation,…
A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…
Q: On November 1 of Year 1, Drucker Co. acquired the following investments in equity securities…
A: The process of recording business transactions in the books of accounts for the first time is known…
Q: Journalize the entries to record the following selected equity investment transactions completed by…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: Prepare the journal entries for all these transactions. Each transaction is independent from the…
A: When stock are issued at price which is more than the par value, the excess amount is transferred to…
Q: Prepare the journal entries to record the following transactions, in the books of Holman Dress…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Prepare entries to record the following selected transactions completed during the current fiscal…
A: A journal entry is used to record the day-to-day transactions of an organization by debiting and…
Q: Entries for Stock Investments, Dividends, and Sale of Stock Yerbury Corp. manufactures construction…
A: Solution A journal is a company's official book in which all business transactions are recorded in…
Q: During the year, the following transactions occurred at Sandberg, Inc. Instructions Journalize the…
A: Journal entries of investment transactions are as under:
Q: Yerbury Corp. manufactures construction equipment. Journalize the entries to record the following…
A: Dividend means the amount given to shareholder of the company as profit distribution by company.…
Q: A company has the following transactions during the year related to stockholders' equity. February 1…
A: The corporation has different options for collecting resources for the business. It includes the…
Q: The following equity investment transactions were completed by Romero Company during a recent year:…
A: The investment under which shares of a company in the stock market are purchased is referred to as…
Q: The following equity investment transactions were completed by Romero Company during a recent year:…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Hansen Inc. engaged in the following transactions during the current Hansen Inc. engaged in the…
A: Introduction: Journal: Recording of a business transactions in a chronological order. First step in…
Q: a. On March 22, purchased 700 shares of RPI Company stock at $22 per share. Duke's stock investment…
A: When an investment is shares is sold any amount received over and above the cost price per share…
Q: During the year, the following selected transactions affecting stockholders' equity occurred for…
A: Answer - Working Note : a. Treasury stock (100 shares × $20) = $2,000 b. Cash (60 shares × $21…
Q: On November 1 of Year 1, Drucker Co. acquired the following investments in equity securities…
A: Journal entry is a primary entry that records the financial transactions initially.
Q: Required information The following information applies to the questions displayed below] The…
A: As observed from above analysis made, the reissuance of treasury stock at a price more than cost…
Q: A company has the following transactions during the year related to stockholders’ equity.…
A: The company can raise funds using different kinds of methods. It can be by issuing common stock,…
Q: Required information [The following information applies to the questions displayed below.] a. On…
A: Short term investment = 1000 shares × $10 = $10,000
Q: Prepare general journal entries to record these transactions. Fido Corporation engaged in the…
A: Treasury stock: Shares which are bought back by the company from the open market but not retired…
Q: Journalize the entries to record the following selected equity investment transactions completed by…
A: Stock is the total amount of money hold by any company that is generated through selling shared in…
Q: Entries for Stock Investments, Dividends, and Sale of Stock Yerbury Corp. manufactures construction…
A: Investment: It is an asset or item which is purchased and held to generate income or for…
Q: Assume that the Board of Directors of ABC Corporation meets on April 1 and declares a dividend of…
A: Assume that the Board of Directors of ABC Corporation meets on April 1 and declares a dividend of…
Q: Rose Company had no short-term investments prior to this year. It had the following transactions…
A: Cost of the share is the price at which the shares are purchased. Fair value of the share is the…
Q: Nasser Inc. had the following transactions pertaining to stock investments. Jan. 1 Purchased…
A: Journal Entry refers to the first step in the accounting cycle. It is used to record all the…
Q: Blue Devil Inc. completed the following transactions of stock issuance, treasury stock and stock…
A:
Q: A) Johnston, Inc., engaged in the following transactions involving treasury stock: Aug. 12…
A: "Since you have asked multiple question, we will solve only first question for you. If you want any…
Q: Prepare the journal entries for the following transactions for Batson Co. Sept. 1 Batson Co.…
A: Journal entries refer to the recording of transactions in an appropriate way. With the help of…
Q: Prepare the journal entry to record Autumn Company’s issuance of 63,000 shares of no-par value…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Journalize the entries to record the following selected equity investment transactions completed by…
A: Please find the answer to the above questions below:
Q: The following selected transactions occurred for Corner Corporation: Feb. 1 Purchased 450…
A: Treasury stock:Shares which are purchased back by the company and held in treasury is referred to as…
Q: Carlsville Company began operations in the current year and had no prior stock investments. The…
A: Journal Entry: It is the very first step taken towards recording any business transactions. Double…
Q: Glacier Products Inc. is a wholesaler of rock climbing gear. The company began operations on January…
A: There are three classifications of securities—available-for-sale, held-for-trading, and…
Q: Show the effects of each transaction on the accounting equation. Give the indicated journal entries…
A: 1.
Q: Required information [The following information applies to the questions displayed below.] a. On…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: The following equity investment transactions were completed by Romero Company during a recent year:…
A: Dividends that were declared but not yet paid are reported on the balance sheet under the heading…
Q: On April 15 of this year, the board of directors for Jedi Company declared a cash dividend of 62…
A: Dividend: dividend alludes to an award, cash, or something else, that an organization provides for…
Q: Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31,…
A: PLEASE LIKE THE ANSWER, YOUR RESPONSE MATTERS Journal in the books of Equinox Products Inc.…
Q: A corporation purchased for cash 5,000 shares of its own $10 par common stock at $25 a share. In…
A: Companies occasionally buy their own stock from the company's stockholders. Treasury stock refers to…
Q: Prepare journal entries to record the following investment-related transactions of a company for its…
A: The numerical has covered the concept of Short Term Investment. investments are generally recorded…
Q: Prepare journal entries to record the following transactions involving both the short-term and…
A: Solution: Introduction: Journal entry is an accounting entry to record every transaction takes place…
Q: The following equity investment transactions were completed by Romero Company during a recent year:…
A: Journal entry is a record of financial transaction in the books of accounts prepared using the three…
Prepare
Duke Co., all of which occurred during the current year.
a. On March 22, purchased 1,000 shares of RPI Company stock at $10 per share. Duke’s stock investment
results in it having an insignificant influence over RPI.
b. On July 1, received a $1 per share cash dividend on the RPI stock purchased in part a.
c. On October 8, sold 50 shares of RPI stock for $15 per share.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- 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.Prepare general journal entries for the following transactions of GOTE Company: (a) Received subscriptions for 10,000 shares of 2 par common stock for 80,000. (b) Received payment of 30,000 on the stock subscription in transaction (a). (c) Received the balance in full for the stock subscription in transaction (a) and issued the stock. (d) Purchased 1,000 shares of its own 2 par common stock for 7.50 a share. (e) Sold 500 shares of the stock on transaction (d) for 8.50 a share.CASH DIVIDENDS, STOCK DIVIDEND, AND STOCK SPLIT During the year ended December 31, 20--, Baggio Company completed the following transactions: Apr. 15 Declared a semiannual dividend of 0.65 per share on preferred stock and 0.45 per share on common stock to shareholders of record on May 5, payable on May 10. Currently, 6,000 shares of 50 par preferred stock and 70,000 shares of 1 par common stock are outstanding. May 10 Paid the cash dividends. Oct. 15 Declared semiannual dividend of 0.65 per share on preferred stock and 0.45 per share on common stock to shareholders of record on November 5, payable on November 20. Nov. 20 Paid the cash dividends. 22 Declared a 10% stock dividend to shareholders of record on December 8, distributable on December 16. Market value of the common stock was estimated at 15 per share. Dec. 16 Issued certificates for common stock dividend. 20 Board of directors declared a two-for-one common stock split. REQUIRED Prepare journal entries for the transactions.
- Longmont Corporation earned net income of $90,000 this year. The company began the year with 600 shares of common stock and issued 500 more on April 1. They issued $5,000 in preferred dividends for the year. What is the numerator of the EPS calculation for Longmont?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.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. The company pays the dividend on December 14. What is the journal entry to record the payment 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?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 stock transactions The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year: During the year, the corporation completed a number of transactions affecting the stockholders equity. They are summarized as follows: a. Issued 400,000 shares of common stock at 11, receiving cash. b. Issued 5,000 shares of preferred 2% stock at 90. c. Purchased 150,000 shares of treasury common for 10 per share. d. Sold 80,000 shares of treasury common for 13 per share. e. Sold 20,000 shares of treasury common for 9 per share. f. Declared cash dividends of 1.50 per share on preferred stock and 0.06 per share on common stock. g. Paid the cash dividends. Instructions Journalize the entries to record the transactions. Identify each entry by letter.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.
