Red Corporation had the following transactions related period January to June 2021. Red Corporation had been registered as a p authorized to issue 300,000 ordinary shares Red Corporation issued 75,000 common stock was sold at a market price of $21 To fulfill the company's business plan, Red
Q: The Maria Incorporated was established in 2018. The Corporation issued 100,000, ₱20 par value shares…
A: Solution: Statement of Changes in Equity of Maria Incorporated for the year 2019 is as under:
Q: Charles Austin of the controller's office of Coronado Corporation was given the assignment of…
A: Convertible preferred stock is the kind of preferred stock, which provides the holder option to…
Q: HOPE Corporation was organized in 2018 to operate a manufacturing business. The following…
A: SOLUTION- ORDINARY SHARE CAPITAL IS THE SUM OF MONEY RAISED BY A CORPORATE FROM PUBLIC AND PRIVATE…
Q: Smallville Company was organized on January 1, 2020. It is authorized to issue 109000 shares of $110…
A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: Lacoste Inc., was organized on January 2, 2019 with a total authorized capital of P 2,000,000, P 20…
A: Securities and Exchange Commission (SEC) is an independent federal agency of the United States. It…
Q: a) Journalize the transactions for the month of April. (Assume that the company follows perpetual…
A: Journal entry: Journal entry is the book of original entry where first transactions are recorded in…
Q: Heuristic Solutions is authorized to issue an unlimited number of common shares and 50,000 preferred…
A: a. Date Particulars Debit Credit July 19,2019 Cash ( 50,000 x 5 ) $250,000 Common Stock…
Q: King Tut Corporation issued 6,600 shares of common stock, all of the same class; 3,400 shares are…
A: Journal entries are prepared to record the financial and non financial transactions of the business.
Q: HOPE Corporation was organized in 2018 to operate a manufacturing business. The following…
A: Appropriated retained Earnings: It is the retained earnings that are specified by the board of…
Q: FAME Corporation is authorized to issue 1,000,000 shares of $1 par value common stock, and 200,000…
A: Answer the follwing questions true or false: 1. A total number of issued common shares at year-end…
Q: Larkspur Limited is a private company that follows ASPE. It is authorized to issue an unlimited…
A: Return on Equity - Return on Equity shows how much the company earned from the amount owed to…
Q: the Nicklaus Corporation participated
A: Date account titles Debit amount($) Credit amount($) June 30 Treasury stock A/c 2,400,000…
Q: HOPE Corporation was organized in 2018 to operate a manufacturing business. The following…
A: Balance with faith : Ordinary shares 1,568,000 Preference sh. 429,000 Issued for land.…
Q: On January 1, 2019, Mulcahy Manufacturing Inc., a newly formed corporation, issued 1,000shares of…
A: Balance Sheet (Extracts) Stockholder' Equity: Amount Common Stock $ 150,000 Retained…
Q: James Incorporated is authorized to issue 5,000,000 shares of $1 par value common stock. In its…
A: When common stock is issued at price higher the par value , then we need to debit cash as cash is…
Q: Smallville Company was organized on January 1, 2020. It is authorized to issue 109000 shares of $110…
A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…
Q: Smallville Company was organized on January 1, 2020. It is authorized to issue 109000 shares of $110…
A: Note - The first part is being solved. Please post a separate question for balance parts. Regrets…
Q: Bickle's Pickles Inc.'s charter authorizes the company to issue up to 100,000 common shares. As of…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Coda Corporation was organized on January 1, 2019, with an authorization of 2,000,000 shares of $5…
A: Formula: Amount received on issue of shares = Number of shares issued x Issue price Multiplying…
Q: The corporation was established in 2019. The Corporation issued 100,000, 20 par value shares…
A: Statement of changes in equity is one of the financial statement of business, which shows all…
Q: Basil Corporation is authorized to issue 900,000 shares of $10 par value common stock, and 200,000…
A: The Numerical has covered the concept of Journal entry relating to the stock purchase and sell.
Q: A company was organized on January 1, 2020. It is authorized to issue 216,000 shares of 5%, $10 par…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: Overland Corporation is authorized to issue 250,000 shares of $1 parvalue common stock. During 2020,…
A: (a).Prepare the journal entry to record item 1.
Q: Oriole Corporation was organized on January 1, 2021. During its first year, the corporation issued…
A: Calculation of above requirement are as follows
Q: Equipment-$3700, Common Stock-$124000, Paid in capital in excess of par value: Common Stock-$24000,…
A: Date Particulars Debit Credit April -01 Cash Common Stock (2500*120)…
Q: On January 1, 2021, Coronado Industries had 124000 shares of its $5 par value common stock…
A: Stock dividends: Stock dividends are the number of shares issued by a company to the existing…
Q: On January 1, 2021, had 2, 000, 0000 ordinary shares outstanding. On July 1, 2021, the entity issued…
A: Diluted earnings per share refers to a company’s per-share profit based on the number of common…
Q: the dusty corporation began business on January 1, 2020. the corporate charter authorizes issuance…
A: Journal entries are the entries to be recorded in the accounting of the business for all the…
Q: Smallville Company was organized on January 1, 2020. It is authorized to issue 104000 shares of $110…
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: asil Corporation is authorized to issue 900,000 shares of $10 par value common stock, and 200,000…
A: The organization can raise funds for the operation song integrity by issuing common stock, preferred…
Q: FAME Corporation is authorized to issue 1,000,000 shares of $1 par value common stock, and 200,000…
A: Common shares can be defined as a type of security which gives the holder the ownership right in the…
Q: HOPE Corporation was organized in 2018 to operate a manufacturing business. The following…
A: Treasury Stock: It is stock that has already been issued that has been purchased by the issuing…
Q: On January 1, 2021 a corporation was organized. The firm was authorized to Issue 150,000 shares of…
A: Stockholder's equity at the end of 2021 = Common stock + Paid in capital in excess of par common…
Q: LALALAND Corporation was organized on 1/1/2020. It was authorized to issue 2 million, $1 par, common…
A: Stockholder’s equity is a part of balance sheet which shows the total owner’s equity that is…
Q: Prytania Corporation is authorized to issue 1,000,000 shares of $5 par value common stock. During…
A: Journal entry is referred to as the primary recording of those transactions which are financial in…
Q: Sousa Caterers, Inc. was organized on May 13, 2019 and the articles stipulated the following…
A: Sousa caterers Inc.'s Authorized capital is 1. 4500 shares of preference shares = P110 par value 2.…
Q: /21. In which required item from the 10-K would this content be located? "During the 4th quarter…
A: Legal proceedings contain information relating to legal policies and legal matters Business contains…
Q: The following transactions relate to the shareholders' equity of Telecom Corporation for 2021, its…
A: Authorized capital represents the limit of capital set at the time of incorporation where the…
Q: Smallville Company was organized on January 1, 2020. It is authorized to issue 104000 shares of $110…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: Oriole Corporation was organized on January 1, 2021. During its first year, the corporation issued…
A: recording of journal entry are as follows
Q: Halpern Corporation is authorized to issue 1,000,000 shares of $3 par value common stock. During…
A: Journal Entry :- A journal entry is the act of recording any transaction, whether one that is…
Q: Prepare the journal entries to record each of the following transactions under the memorandum entry…
A: The correct answer for the above mentioned question is given in the following steps for your…
Q: On My Own Corporation was organized on Feb 01, 2021. The corporation was authorized to issue 40,000…
A: Shareholders’ equity is shown on the balance sheet that represents the amount invested by the owner…
Q: Record the journal entries for the transactions listed above.
A: When shares or stock is issued in exchange for an asset, such stock is valued at cost of the asset.…
Q: LALALAND Corporation was organized on 1/1/2020. It was authorized to issue 2 million, $1 par, common…
A: When the treasury stocks are re-issued at a price more than its cost then Additional paid-in capital…
Q: llville Company carried the following balances to their respective accounts. Cash-$58000,…
A: Date Particulars Debit Credit April -01 Cash Common Stock…
Q: Oriole Corporation is authorized to issue 1.000,000 shares of $1 par value common stock. During…
A: Paid in capital in excess of par value = Cash received - Total par value of shares issued Cash…
Q: Roberto Designers was organized on January 1, 2021. The firm was authorized to issue 180,000 shares…
A: Stockholders equity = Common stock + Paid in capital in excess of par + Retained earnings - Treasury…
Q: 1. Prepare the Nicklaus Corporation shareholders' equity section as it would appear in a balance…
A: Given: The transactions of Nicklaus corporation during the year 2021 is given.
Q: LALALAND Corporation was organized on 1/1/2020. It was authorized to issue 2 million, $1 par, common…
A: Additional Paid in Capital from Treasury stock represents the excess amount over its cost generated…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
- 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.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.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. 3,370,000
- The controller of Red Lake Corporation has requested assistance in determining income, basic earnings per share, and diluted earnings per share for presentation on the companys income statement for the year ended September 30, 2020. As currently calculated, Red Lakes net income is 540,000 for fiscal year 2019-2020. Your working papers disclose the following opening balances and transactions in the companys capital stock accounts during the year: 1. Common stock (at October 1, 2019, stated value 10, authorized 300,000 shares; effective December 1, 2019, stated value 5, authorized 600,000 shares): Balance, October 1, 2019issued and outstanding 60,000 shares December 1, 201960,000 shares issued in a 2-for-l stock split December 1, 2019280,000 shares (stated value 5) issued at 39 per share 2. Treasury stockcommon: March 3, 2020purchased 40,000 shares at 38 per share April 1, 2020sold 40,000 shares at 40 per share 3. Noncompensatory stock purchase warrants, Series A (initially, each warrant was exchangeable with 60 for 1 common share; effective December 1, 2019, each warrant became exchangeable for 2 common shares at 30 per share): October 1, 201925,000 warrants issued at 6 each 4. Noncompensatory stock purchase warrants, Series B (each warrant is exchangeable with 40 for 1 common share): April 1, 202020,000 warrants authorized and issued at 10 each 5. First mortgage bonds, 5%, due 2029 (nonconvertible; priced to yield 5% when issued): Balance October 1, 2019authorized, issued, and outstandingthe face value of 1,400,000 6. Convertible debentures, 7%, due 2036 (initially, each 1,000 bond was convertible at any time until maturity into 20 common shares; effective December 1, 2019, the conversion rate became 40 shares for each bond): October 1, 2019authorized and issued at their face value (no premium or discount) of 2,400,000 The following table shows the average market prices for the companys securities during 2019-2020: Adjusted for stock split Required: Prepare a schedule computing: 1. the basic earnings per share 2. the diluted earnings per share that should be presented on Red Lakes income statement for the year ended September 30, 2020 A supporting schedule computing the numbers of shares to be used in these computations should also be prepared. Assume an income tax rate of 30%.Winona Company began 2019 with 10,000 shares of 10 par common stock and 2,000 shares of 9.4%, 100 par, convertible preferred stock outstanding. On April 2 and June 1, respectively, the company issued 2,000 and 6,000 additional shares of common stock. On November 16, Winona declared a 2-for-1 stock split. The preferred stock was issued in 2018. Each share of preferred stock is currently convertible into 4 shares of common stock. To date, no preferred stock has been converted. Current dividends have been paid on both preferred and common stock. Net income after taxes for 2019 totaled 109,800. The company is subject to a 30% income tax rate. The common stock sold at an average market price of 24 per share during 2019. Required: 1. Prepare supporting calculations for Winona and compute its: a. basic earnings per share b. diluted earnings per share 2. Show how Winona would report the earnings per share on its 2019 income statement. Include an accompanying note to the financial statements. 3. Next Level Assume Winona uses IFRS. Discuss what Winona would do differently for computing earnings per share, and then repeat Requirement 1 under IFRS.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.
- Vishnu Company is authorized to issue 500,000 shares of $2 par value common stock. In conjunction with its incorporation process and the IPO, the company has the following transaction: Apr. 10, issued 1,000 shares of stock for legal services valued at $15,000. Journalize the transaction.Lyon Company shows the following condensed income statement information for the year ended December 31, 2019: Lyon declared dividends of 6,000 on preferred stock and 17,280 on common stock. At the beginning of 2019, 10,000 shares of common stock were outstanding. On May 1, 2019, the company issued 2,000 additional common shares, and on October 31, 2019, it issued a 20% stock dividend on its common stock. The preferred stock is not convertible. Required: 1. Compute the 2019 basic earnings per share. 2. Show the 2019 income statement disclosure of basic earnings per share. 3. Draft a related note to accompany the 2019 financial statements.Effective May 1, the shareholders of Baltimore Corporation approved a 2-for-1 split of the companys common stock and an increase in authorized common shares from 100,000 shares (par value 20 per share) to 200,000 shares (par value 10 per share). Baltimores shareholders equity items immediately before issuance of the stock split shares were as follows: What should be the balances in Baltimores Additional Paid-in Capital and Retained Earnings accounts immediately after the stock split is effected?
- Cary Corporation has 50,000 shares of 10 par common stock authorized. The following transactions took place during 2019, the first year of the corporations existence: Sold 5,000 shares of common stock for 18 per share. Issued 5,000 shares of common stock in exchange for a patent valued at 100,000. At the end of Carys first year, total contributed capital amounted to: a. 40,000 b. 90,000 c. 100,000 d. 190,000Paydirt Limestone, Incorporated was organized several years ago and was authorized to issue 3,000,000 shares of $40 par value 9% preferred stock. It is also authorized to issue 3,750,000 shares of $2 par value common stock. In its fifth year, the corporation has the following transactions: Journalize the transactions.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.