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The stockholders' equity accounts of Marigold Corp. on January 1, 2022, were as follows. Preferred Stock (8%, $50 par, cumulative, 11,000 shares authorized) Common Stock ($1 stated value, 2,050,000 shares authorized) Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value-Common Stock Retained Earnings Treasury Stock (11,000 common shares) During 2022, the corporation had the following transactions and events pertaining to its stockholders' equity. Feb. 1 Issued 24,000 shares of common stock for $115,000. Apr. 14 Sold 5,600 shares of treasury stock-common for $33,200. Sept. 3 Issued 4,800 shares of common stock for a patent valued at $34,600. Nov. 10 Purchased 1,100 shares of common stock for the treasury at a cost of $6.200. Determined that net income for the year was $485,000. Dec. $ 375,000 1,150,000 110,000 1,450,000 1,750,000 55,000 31 No dividends were declared during the year. (a) Journalize the transactions and the closing entry for net income. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)

The stockholders' equity accounts of Marigold Corp. on January 1, 2022, were as follows. Preferred Stock (8%, $50 par, cumulative, 11,000 shares authorized) Common Stock ($1 stated value, 2,050,000 shares authorized) Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value-Common Stock Retained Earnings Treasury Stock (11,000 common shares) During 2022, the corporation had the following transactions and events pertaining to its stockholders' equity. Feb. 1 Issued 24,000 shares of common stock for $115,000. Apr. 14 Sold 5,600 shares of treasury stock-common for $33,200. Sept. 3 Issued 4,800 shares of common stock for a patent valued at $34,600. Nov. 10 Purchased 1,100 shares of common stock for the treasury at a cost of $6.200. Determined that net income for the year was $485,000. Dec. $ 375,000 1,150,000 110,000 1,450,000 1,750,000 55,000 31 No dividends were declared during the year. (a) Journalize the transactions and the closing entry for net income. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)

College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter20: Corporations: Organization And Capital Stock
Section: Chapter Questions
Problem 1MP: Stockholders equity accounts and other related accounts of Gonzales Company as of January 1, 20--,...
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The stockholders' equity accounts of Marigold Corp. on January 1, 2022, were as follows. Preferred Stock (8%, $50 par, cumulative, 11,000 shares authorized) $ 375,000 Common Stock ($1 stated value, 2,050,000 shares authorized) 1,150,000 Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value-Common Stock Retained Earnings Treasury Stock (11,000 common shares) During 2022, the corporation had the following transactions and events pertaining to its stockholders' equity. Feb. 1 Issued 24,000 shares of common stock for $115,000. Apr. 14 Sold 5,600 shares of treasury stock-common for $33,200. Sept. 3 Nov. 10 Dec. 31 110,000 1,450,000 1,750,000 55,000 No dividends were declared during the year. (a) Issued 4,800 shares of common stock for a patent valued at $34,600. Purchased 1,100 shares of common stock for the treasury at a cost of $6,200. Determined that net income for the year was $485,000. Journalize the transactions and the closing entry for net income. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
Transcribed Image Text:The stockholders' equity accounts of Marigold Corp. on January 1, 2022, were as follows. Preferred Stock (8%, $50 par, cumulative, 11,000 shares authorized) $ 375,000 Common Stock ($1 stated value, 2,050,000 shares authorized) 1,150,000 Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Stated Value-Common Stock Retained Earnings Treasury Stock (11,000 common shares) During 2022, the corporation had the following transactions and events pertaining to its stockholders' equity. Feb. 1 Issued 24,000 shares of common stock for $115,000. Apr. 14 Sold 5,600 shares of treasury stock-common for $33,200. Sept. 3 Nov. 10 Dec. 31 110,000 1,450,000 1,750,000 55,000 No dividends were declared during the year. (a) Issued 4,800 shares of common stock for a patent valued at $34,600. Purchased 1,100 shares of common stock for the treasury at a cost of $6,200. Determined that net income for the year was $485,000. Journalize the transactions and the closing entry for net income. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
Date Feb. 1 Apr. 14 Sept. 3 Nov. 10 V Dec. 31 V Account Titles and Explanation Cash Common Stock Paid-in Capital in Excess of Stated Value-Common Stock Cash Paid-in Capital from Treasury Stock Treasury Stock Debit 115,000 32,000 Credit 24,000 91000
Transcribed Image Text:Date Feb. 1 Apr. 14 Sept. 3 Nov. 10 V Dec. 31 V Account Titles and Explanation Cash Common Stock Paid-in Capital in Excess of Stated Value-Common Stock Cash Paid-in Capital from Treasury Stock Treasury Stock Debit 115,000 32,000 Credit 24,000 91000
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