The statement of shareholders’ equity of Bethsheda Storage Corporation for the year ended December 31, reports the following dividends paid to shareholders ($ thousands). Distributions to equity holders Preferred shares $302,842 Common shares $1,954,910 The year-end balance sheet includes the following ($ thousands). Preferred Shares, $0.01 par value, 100,000,000 shares authorized, 161,000 shares issued and outstanding $5,635,000 Common Shares, $0.10 par value, 650,000,000 shares authorized, 174,130,881 shares issued and outstanding $24,378 a. Use the financial statement effects template to indicate the effects of (a) the preferred dividend declaration and payments and (b) the common dividend declaration and payments.

Question

The statement of shareholders’ equity of Bethsheda Storage Corporation for the year ended December 31, reports the following dividends paid to shareholders ($ thousands).

Distributions to equity holders
Preferred shares $302,842
Common shares $1,954,910


The year-end balance sheet includes the following ($ thousands).

Preferred Shares, $0.01 par value, 100,000,000 shares authorized, 161,000 shares issued and outstanding $5,635,000
Common Shares, $0.10 par value, 650,000,000 shares authorized, 174,130,881 shares issued and outstanding $24,378


a. Use the financial statement effects template to indicate the effects of (a) the preferred dividend declaration and payments and (b) the common dividend declaration and payments.

Expert Answer

Want to see the step-by-step answer?

Check out a sample Q&A here.

Want to see this answer and more?

Experts are waiting 24/7 to provide step-by-step solutions in as fast as 30 minutes!*

*Response times may vary by subject and question complexity. Median response time is 34 minutes for paid subscribers and may be longer for promotional offers.
Tagged in
Business
Accounting

Other

Related Accounting Q&A

Find answers to questions asked by students like you.

Q: Joint Cost Allocation—Net Realizable Value Method Lily’s Lemonade Stand makes three types of lemonad...

A: Cost Allocation Method:   The cost allocation method is the method by which the costs to be assigned...

Q: Explain why the allowance method is preferred to the direct write-off method for bad debt.   ...

A: Direct Write-off Method: It is one of the method of charging the bad debt expense or uncollectible a...

Q: Aqua Ltd issues a prospectus inviting the public to subscribe for 30 million ordinary shares of $2.0...

A: Concept introduction:   The issue of shares refers to the requirement of capital by the company for...

Q: What are auditors’ reporting options when going-concern uncertainties are noted?

A:  

Q: ON 31ST AUGUST 2018, Musk Traders purchased a machine on credit for a cost price of R402 500 (includ...

A: Straight line depreciation is one of method used to calculated depreciate expense charged on fixed a...

Q: Required:(a) GEM has an opportunity to sell 10 000 units to an overseas customer. Import duties and ...

A: Cost may be defined as the amount of funds incurred for the production of goods from raw material ti...

Q: PT Maju Jaya sells one product. The following information is available for January. January 1, Inven...

A: a. Prepare the working note for computing COGS as follows: Result:

Q: Perfumes Ltd has two divisions: the Perfume Division and the Bottle Division. The company is decentr...

A: Transfer price: The price charged for the goods and services transferred among the divisions are ref...

Q: CH 5 #5 Assume that two pieces of equipment have the following characteristics:   Using a hurdle rat...

A: Equivalent annual cost is used when two or more projects are compared having unequal lives. Under EA...

Q: In the table below, fill in the March 24 quantity, unit cost, and total cost in the spaces provided ...

A: Inventory is defined as the current asset which is held by the business entity to earn revenue. The ...

Q: Estate planning is becoming more important to many individuals. Identify several goals of estate pla...

A: Click to see the answer

Q: . Study the following items related to transactions during the year to September 30,2020 for Thompso...

A: a)- Journal entry result:

Q: 5. If this loan had been made on a 10% add-on basis payable in 12 end-of-month installments, that wo...

A: The following calculations are done as per the information provided.

Q: Why should preferred stock issued in exchange for land be reported in the statement of cash flows in...

A: A cash flow statement shows the cash movements categorised in three types cash flow from operating a...

Q: P. Gumede is the proprietor of PG Stores. He commenced trading on 01 March 2017. At the end of the s...

A: Income statement is a statement that helps in determining the income or the profit and loss of a fir...

Q: Accounting Question

A: “Since you have asked multiple questions, we will solve the first three sub parts of first question ...

Q: Support Department Cost Allocation—Direct Method Christmas Timber, Inc., produces Christmas trees. T...

A: Click to see the answer

Q: McNeil Company, a medium-sized manufacturer of microwaveovens, has been an audit client for the past...

A: “Since you have posted a question with many sub-parts, we will solve three sub-parts for you. To get...

Q: 3. A sales manager is proud of having doubled sales in the past four years. What questions should be...

A: Accounting is primarily concerned with identifying, recording, measuring, summarizing transactions t...

Q: Southern Tier Heating, Inc. installs heating systems in new homes built in the southern tier countie...

A: Time and material pricing: It is a pricing concept build based on the cost-based approach, where a c...

Q: An extract of the Asset Register of Ace Pty Ltd (“Ace”) for the 2018 - 2019 Income year is shown as ...

A: Introduction: Income tax: Income tax refers to the charge on the taxable income of the individual an...

Q: The following pre‐adjustment trial balance appeared in the books of Central Perk Furniture Storeat t...

A: Journal entry is the entry to record chronologically the transactions of the entity by using a doubl...

Q: International Printer Machines (IPM) builds three computer printer models: Alpha, Beta, and Gamma. I...

A: Contribution margin: Deducting the variable cost from sales value called Contribution margin. Contri...

Q: What options are available to group auditors when component auditors are involved in the examination...

A: Click to see the answer

Q: In the table below, il in the March 24 quantity, unit cost, and total cost in the spaces provided fo...

A: LIFO: LIFO is a method of valuation of inventory of goods. It follows the concept that the inventori...

Q: Purchased 3 units on 10" September $10/each. We sold 3 lemons on 1" September. We found 6 lemons lef...

A: We have sold 3 lemons. Hence selling price would be 3 x $20 = $60

Q: Requirement: a) Journalize the transactions and the closing entry for net income

A: Journal entry is the chronologically recording of the transactions in debit and credit columns. The ...

Q: The following selected transactions were completed during August of the current year: Transactio...

A: Journal Entry:- It can be defined as the recording of business transactions in the books of accounts...

Q: Fitbit Ltd has leased a machine on the following terms: Date of entering leaseDuration of leaseLife ...

A: Definition: Lease: It refers to an agreement whereby the rights to use an asset are granted by one p...

Q: A corporation sells property (basis of $750,000) to its sole shareholder for $450,000, the fair mark...

A: Taxable gain and Realized loss:   Taxable gains are the profits that a person receives from selling ...

Q: GEM Limited has a single product Flicks. The company normally produces and sells 80,000 units of Fli...

A: Relevant costs are the costs which have not yet incurred. These are incurred when the company takes ...

Q: Garcinia Bhd is preparing its financial statements for the year ended 30 September 2014. The followi...

A: Provision is a probable obligation that arises from past events .It can be settled by outflows of ec...

Q: Melbourne Awesome Ltd supplies a wide range of folding bicycles. Melbourne Awesome Ltd derives Austr...

A: Income tax expense:   The expenses which are related to the taxable income of the individuals and b...

Q: Analytical procedures are an important part of the audit process and consist of the evaluation of fi...

A: Planning the audit Audit planning is the vital and detailed program gives instructions about how au...

Q: Applying Overhead to Jobs, Costing Jobs Gorman Company builds internal conveyor equipment to client ...

A: Job costing: It is a method of costing where in all the costs like direct material, direct labor and...

Q: A new company, is being established to manufacture and sell an electronic tracking device:the Tracki...

A: Cash Receipt Budget is an account showing the cash balance of revenue received in a period. Material...

Q: On 1 February 20X1 Picardy acquired 35% of the equity shares of Avignon, its only associate, for $10...

A: We have the following information: On 1 February 20X1 Picardy acquired 35% of the equity shares of ...

Q: TikTok Electronics manufactures an aluminium fibre tripod model “TRI-X” which sells for $1,600. The ...

A: Manufacturing overhead: It is the indirect cost incurred as a part of manufacturing the products. Th...

Q: What kinds of challenges occurs in the Cost Control and Cost Reduction in the Manufacturing concerns...

A: Cost Control is different from cost reduction Cost Control focuses/emphasises on decreasing the tota...

Q: The officers and Board of Directors of the Philippine Institute of Civil Engineers desire to awarda ...

A: Introduction: Cash flow statement: Cash flow statement is one of the main financial statements of th...

Q: A telecommunications operator (BarleyCo) enters into an indefeasible rights of use (IRU) contract wi...

A: Lease is an arrangement in which lessor gives right to use the asset to lessee in exchange of a peri...

Q: Land valued at $400,000 and subject to a $150,000 mortgage was donated to Beaty Hospital without res...

A: Click to see the answer

Q: (a) Where the parent company does not hold 100 percent equity of the subsidiary company, what portio...

A: “Hey, since there are multiple sub-parts posted, we will answer first three sub-parts. If you want a...

Q: Subsequently Discovered Facts. On June 1, Sidney Faultless of A. J. Faultless & Co., CPAs, notic...

A: Click to see the answer

Q: GEM Limited has a single product Flicks. The company normally produces and sells 80,000 units of Fli...

A: Special orders are often received by the companies, which are usually for one time and doesn’t affec...

Q: Alisha, who is single, owns a sole proprietorship in which she works as a management consultant. She...

A: (A) Purchased at Year 1 for $400,000 (B) Depreciation allowance for 3 years: $10000 x 3 = $30000 (C)...

Q: During March, Hart Company incurred the following costs on Job 122 for the manufacture of 200 motors...

A: Cost per finished unit = Total cost / Total number of units where, Total cost = Production cost + Re...