Required informationProblem 10-4A (Algo) Analyze the stockholders' equity section (LO10-7)[The following information applies to the questions displayed below.]The stockholders' equity section of Ironworks is presented here.IRONWORKSBalance Sheet (partial)($ and shares in thousands)Stockholders' equity:Preferred stock, $1 par valueCommon stock, $1 par valueAdditional paid-in capitalTotal paid-in capitalRetained earnings.Treasury stock, 12,000 common sharesTotal stockholders' equityBased on the stockholders' equity section of Ironworks, answer the following questions. Remember that all amounts arepresented in thousands.Problem 10-4A (Algo) Part 5Average cost$5,20022,000675,200702,400280,000(288,000)$694,4005. What was the average cost per share of the treasury stock acquired?per share

Treasury stock is own shares repurchased by company. It can be purchase at any cost and can be…

Answered: Required information Problem 10-4A…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter8: Liabilities And Stockholders' Equity

Section: Chapter Questions

Problem 8.23E

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Alert Companys shareholders equity prior to any of the following events is as follows: The company is considering the following alternative items: 1. An 8% stock dividend on the common stock when it is selling for 30 per share. 2. A 30% stock dividend on the common stock when it is selling for 32 per share. 3. A special stock dividend to common shareholders consisting of 1 share of preferred stock for every 100 shares of common stock. The preferred stock and common stock are selling for 123 and 31 per share, respectively. 4. A 2-for-1 stock split on the common stock, reducing the par value to 5 per share (assume the same date for declaration and issuance). The market price is 30 per share on the common stock. 5. A property dividend to common shareholders consisting of 100 bonds issued by West Company. These bonds are carried on the Alert Company books as an available-for sale investment at a fair value of 48,000 (which is also its cost); it has a current value of 54,000. 6. A cash dividend, consisting of a normal dividend and a liquidating dividend, on both the preferred and the common stock. The 10% preferred dividend includes a 2% liquidating dividend, and the 2.30 per share common dividend includes a 0.30 per share liquidating dividend (separate liquidating dividend contra accounts should be used). Required: For each of the preceding alternative items: 1. Record (a) the journal entry at the date of declaration and (b) the journal entry at the date of issuance. 2. Compute the balances in the shareholders equity accounts immediately after the issuance (any gains or losses are to be reflected in the retained earnings balance; ignore income taxes).
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.
GL1302 - Based on Problem 13-4A Atticus Group LO C3, P2, P3 The equity sections for Atticus Group at the beginning of the year (January 1) and end of the year (December 31) follow. Stockholders’ Equity January 1 Common stock—$4 par value, 100,000 sharesauthorized, 40,000 shares issued and outstanding $ 160,000 Paid-in capital in excess of par value, common stock 120,000 Retained earnings 320,000 Total stockholders’ equity $ 600,000 Stockholders’ Equity (December 31) Common stock—$4 par value, 100,000 sharesauthorized, 47,400 shares issued, 3,000 shares in treasury $ 189,600 Paid-in capital in excess of par value, common stock 179,200 Retained earnings ($30,000 restricted by treasury stock) 400,000 768,800 Less cost of treasury stock (30,000 ) Total stockholders’ equity $ 738,800 The following transactions and events affected its equity during the year. Jan. 5 Declared a $0.50 per share cash…
The stockholders' equity section of Fica Company's balance sheet shows the following: 6% noncumulative preferred stock - P10,000 10% cumulative preferred stock - P10,000 Common stock @P10 par - P33,000 Retained earnings - P12,500 Treasury stock at cost - P(6,000) Total stockholders' equity - P49,500 Additional information: •The 10% noncumulative preferred stock, P100 par P10,000 •At the end of the period, the company has 100 shares of preferred stock outstanding, 3,300 shares of common stock issued, and 300 common treasury shares. •Dividends are in arrears for two years. What is common stock book value per share?
The stockholders' equity section of Fica Company's balance sheet shows the following: 6% noncumulative preferred stock - P10,000 10% cumulative preferred stock - P10,000 Common stock @P10 par - P33,000 Retained earnings - P12,500 Treasury stock at cost - P(6,000) Total stockholders' equity - P49,500 Additional information: •The 10% noncumulative preferred stock, P100 par P10,000 •At the end of the period, the company has 100 shares of preferred stock outstanding, 3,300 shares of common stock issued, and 300 common treasury shares. •Dividends are in arrears for two years. Question: What is the amount of preferred stock book value per share?
P15-1 (LO1,2,3,4) Equity Transactions and Statement Preparation On January 5, 2020, Phelps Corporation received a charter granting the right to issue common and preferred stock as provided below: Cumulative and nonparticipating preferred stock: Number of shares authorized 5,000 shares Par value $ 100 per share Dividend rate 8% Common stock: Number of shares authorized 50,000 shares Par value $ 10 per share It then completed these transactions. Jan. 11 Issued common stock Number of shares 20,000 Issue price per share $ 16.00 Feb. 1 Issued preferred stock to Sanchez Corp. for assets with the following values: Fair value of equipment $ 50,000 Fair value of a factory building $ 160,000 Appraised value of land $ 270,000 Number of shares issued…
I,m stuck on my general ledger for accounting GL1302 - Based on Problem 13-4A Atticus Group LO C3, P2, P3 The equity sections for Atticus Group at the beginning of the year (January 1) and end of the year (December 31) follow. Stockholders’ Equity January 1 Common stock—$4 par value, 100,000 sharesauthorized, 40,000 shares issued and outstanding $ 160,000 Paid-in capital in excess of par value, common stock 120,000 Retained earnings 320,000 Total stockholders’ equity $ 600,000 Stockholders’ Equity (December 31) Common stock—$4 par value, 100,000 sharesauthorized, 47,400 shares issued, 3,000 shares in treasury $ 189,600 Paid-in capital in excess of par value, common stock 179,200 Retained earnings ($30,000 restricted by treasury stock) 400,000 768,800 Less cost of treasury stock (30,000 ) Total stockholders’ equity $ 738,800 The following transactions and events affected its equity during the year. Jan.…
E11-11 The stockholders’ equity section of Haley Corporation at December 31 is as follows. HALEY CORPORATION Balance Sheet (partial) Paid-in capital Preferred stock, cumulative, 10,000 shares authorized, 6,000 shares issued and outstanding $ 300,000 Common stock, no par, 750,000 shares authorized, 600,000 shares issued 1,200,000 Total paid-in capital 1,500,000 Retained earnings 1,858,000 Total paid-in capital and retained earnings 3,358,000 Less: Treasury stock (10,000 common shares) 64,000 Total stockholders’ equity $3,294,000 Instructions From a review of the stockholders’ equity section, as chief accountant, write a memo to the president of the company answering the following questions. (a) How many shares of common stock are outstanding? (b) Assuming there is a stated value, what is the stated value of the common stock? (c) What is the par value of the preferred stock? (d) If the annual dividend on preferred stock is $30,000, what is the dividend rate on preferred stock? (e) If…
The shareholders’ equity of Raven Company is as shown: RAVEN COMPANY Partial Balance Sheet 1 Common stock, $10 par $300,000.00 2 Additional paid-in capital on common stock 200,000.00 3 Retained earnings 200,000.00 4 $700,000.00 Raven is considering the declaration and issuance of a stock dividend at a time when the market price is $20 per share. Required: 1. Assuming the board of directors recommends a 6% stock dividend, prepare: a. the journal entry at the date of declaration b. the journal entry at the date of issuance c. shareholders’ equity after the issuance
The shareholders’ equity of Raven Company is as shown: RAVEN COMPANY Partial Balance Sheet 1 Common stock, $10 par $300,000.00 2 Additional paid-in capital on common stock 200,000.00 3 Retained earnings 200,000.00 4 $700,000.00 Raven is considering the declaration and issuance of a stock dividend at a time when the market price is $20 per share Required: 1. Assuming the board of directors recommends a 6% stock dividend, prepare: a. the journal entry at the date of declaration b. the journal entry at the date of issuance c. shareholders’ equity after the issuance 2. Assuming, instead, that a 40% stock dividend is recommended, answer a, b, and c of Requirement 1. Please only answer number 2 :)
The shareholders’ equity of Raven Company is as shown: RAVEN COMPANY Partial Balance Sheet 1 Common stock, $10 par $300,000.00 2 Additional paid-in capital on common stock 200,000.00 3 Retained earnings 200,000.00 4 $700,000.00 Raven is considering the declaration and issuance of a stock dividend at a time when the market price is $20 per share. Required: 1. Assuming the board of directors recommends a 6% stock dividend, prepare: a. the journal entry at the date of declaration b. the journal entry at the date of issuance c. shareholders’ equity after the issuance 2. Assuming, instead, that a 40% stock dividend is recommended, answer a, b, and c of Requirement 1.
The following represents the stockholder’s equity account of Security Data Company: 0 R Preferred stock R200,000 Common stock (R4 par) R200,000 Paid-in capital in excess of par R350,000 Retained earnings R350,000 Total stockholder’s equity ######## Additional information provided: Current share price R40 Earning Available to Common Shareholders (EACS) R120,000 The firm is considering a 5% stock dividend. A. Rework the stockholder’s equity account for Security Data Company should the firm decide to implement the stock dividend. Current New Preferred stock R200,000 [0,5] Common stock (R4 par) R200,000 [1] Paid-in capital in excess of par R350,000 0 [1] Retained earnings R350,000 [1] Total stockholder’s equity ######## 0.5

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