XYZ Corporation reported the following in its statement of shareholders' equity on January 1 2021 Ordinary share capital, P50 par value, 200,000 shares authorized,100,000 shares Issued-P5,000,000 Additional paid In capital-P1,500,000 Retained earnings P516,000 Treasury shares, at cost (5,000 shares) P400,000 The following events occurred in 2021: May 1-1,000 treasury shares were sold for P10,000 July 9-10,000 shares of previously unissued ordinary share were sold for P57 per share. Oct 1-Share split 2 for 1 How many shares are outstanding on December 31, 2021? Note: No need to put P (peso) sign
Q: Assume (1) actual machine-hours worked during the period of 54,000 hours, (2) manufacturing overhead…
A: Applied overhead is estimated overhead with actual hours. Estimated overhead rate is calculated…
Q: Bridget Cheungis getting ready to open a small restaurant. She is on a tight budget and must choose…
A: A budget refers to the statement that the organizations, individuals, and the government prepare…
Q: Net income reported by a company has what impact on retained earnings and total stockholders equity
A: Retained earnings represent the accumulated profit over a period of time for the company. The…
Q: The following balance sheet, which has some weaknesses in terminology and classification, has been…
A: The question is based on the concept of Financial Accounting.
Q: In addition to cash contributions to charity, Dean decided to donate shares of stock and a portrait…
A: We use Fair market value (FMV)to calculate deduction : Maximum deduction can avail on cash that…
Q: The Polaris Company uses a job-order costing system. The following transactions occurred in October:…
A: Job order costing: - Job order costing refers to the system in which the cost of manufacturing is…
Q: In December, a company was calculating the predetermined factory overhead rate for the upcoming…
A: The traditional method of overhead allocation is based on a predetermined overhead rate. The…
Q: 11. Daniel and Nathan are partners of For Your Purpose Company. It begins its first year of…
A: Daniel capital p360,000 Nathan capital p180,000
Q: BUSINESS TRANSACTIONS AND THEIR ANALYSIS AS APPLIED TO THE ACCOUNTING CYCLE OF THE a.SERVICE…
A: Service: Service is an economic activity in which an individual or a group provides expert knowledge…
Q: Nana Company had a margin of safety ratio of 20%, variable costs of 60% of sales, fixed costs of…
A: Fixed cost refers to those cost which doesn't changes with the changing level of production /sales…
Q: e system was estimated to require a complete upgrade in five years to avoid obsolescenc ncurred for…
A: Allocation cost refers to the complete process of determining the expenses involve din identifying,…
Q: Question 6 of 15 View Policies Current Attempt in Progress Direct labor hours Boswell Company…
A: Total overhead cost = machining cost + assembly cost Total overhead cost = $7200000 ( $4800000 +…
Q: How can standard-setting bodies such as the AASB avoid regulatory capture?
A: Regulatory capture is a theory which says that regulatory agencies such as AASB may lead to be…
Q: Dream Makers is a small manufacturer of gold and platinum jewelry. It uses a job costing system that…
A:
Q: How much discount interest will there be if $12,500 is due at the end of 3 years with a 12% discount…
A: Concept of calculating the present value Calculation of Present Value Formula for Calculation of…
Q: Sunland Company Inc. had a beginning inventory of 120 units of Product RST at a cost of $7 per unit.…
A: The question is based on the concept of Cost Accounting. Weighted average cost is calculated by…
Q: Which of the following could be possible cause for dissolution with liquidation of the partnership…
A:
Q: Problem 4 The Blue Ridge Café's budget for next year indicates the following: $765,000 Revenues…
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: Carmen Camry operates a consulting firm called Help Today, which began operations on December 1. On…
A: Balance sheet :— Balance Sheet Provides the financial position of the Company. It is one of the…
Q: Equipment acquired on January 5, 2013, at a cost of $918,240, has an estimated useful life of 15…
A: Book Value of an Asset: The value of an asset as it appears on a company's balance sheet and…
Q: Accounting On January 1, 2022, Pronto Company acquired all of Speedy Inc.'s voting stock for…
A: C $2400000 Please fallow the answer below Sales revenue. 840,00,000 Less:COGS…
Q: Equipment acquired on January 8 at a cost of $168,000 has an estimated useful life of 18 years, has…
A: Depreciation :— It is the reduction in the value of asset due to continuos use of the assets.…
Q: During 2019, Namnama Company introduced a new product carrying a two-year warranty against defects…
A: Lets understatnd the basics. Warranty expense needs to be recorded on accrual basis. In accrual…
Q: Elements of financial statements are prescribed by the Conceptual Framework of financial accounting.…
A: Elements of the financial statement include: Assets Liabilities Owner's equity Revenue/gains…
Q: S Corporation, a 75% owned subsidiary, of P Corporation, sells inventory items to its parent company…
A: Subsidiary revenues include any earnings, receivables, receipts, revenues, cash, profits, fees for…
Q: Do you believe that the current international accounting standard-setting arrangements, based around…
A: Answer:- International accounting standard meaning:- International accounting standards are a…
Q: Question 1b A company is evaluating a project that required the following types of material.…
A:
Q: identify whether Ursula's comments are accurate or not accurate A. (1) Accurate; (2) Not accurate B.…
A: B . (1) Not Accurate; (2) Accurate Ursula has no personal assets or income separate from her…
Q: avid deposits $2,000 per year at the end of the year for the next 20 years into an IRA account that…
A: The concept of time value of money will be used here. As per the concept of time value of money…
Q: Assume the following information: Milling Department Units Percent Complete Materials Conversion…
A: Solution Weighted average method is an inventory costing method that is assign average cost to each…
Q: 32. A consultant makes two statements about ICAEW’s regulation and supervision roles: 1 ICAEW…
A: Note: - You have posted two question, as per the Bartleby guidelines, shall answer only first one.…
Q: Which of the following statement is INCORRECT?
A: It is given in the question that the partnership business which has been established by the Daniel…
Q: Accounting The following information is given for process I for B Ltd. The average method of pricing…
A: According to the given question, we are required to prepare the process I Account. Process…
Q: During 2019, Namnama Company introduced a new product carrying a two-year warranty against defects…
A: Lets understand the basics. In Accrual basis, warranty cost is needed to be recorded in the period…
Q: Direct materials: Beginning inventory Purchases Ending inventory Direct manufacturing labor…
A: "Since you have posted a question with multiple sub parts, we will solve first three sub parts for…
Q: Grady received $8,320 of Social Security benefits this year. Grady also reported salary and interest…
A: Solution Gross income is the total amount of income that an individual earned before taxes and…
Q: The following information for the year ended December 31, 2021, was reported by Nice Bite,…
A: Income Statement :— It is one of the financial statement that shows profitability of company during…
Q: Following are the current asset and current liability sections of the balance sheets for…
A: Calculation of working capital and current ratio , please fallow the answer below August 31,…
Q: A) Can the government tax its own agencies or instrumentalities? Explain. PHILIPPINE GOVERNMENT
A: Since there is no constitutional prohibition against the government taxing itself, it may tax…
Q: Boswell Company manufactures two products, Regular and Supreme. Boswell's overhead costs consist of…
A: Over applied to supreme using Activity based costing. Overhead relating to machining allocated based…
Q: how did you find the average common stockholders' equity for the final question?
A: Average common stockholders' equity - Average Common stockholder's equity is calculated by following…
Q: What roles are played by the American Institute of Certified Public Accountants for its members?
A: American Certified Public Accountants (CPAs) are members of something like the non-profit American…
Q: One reason annual overhead application rates are used is Group of answer choices to minimize the…
A: Overhead cost: Overhead costs can be explained as those costs that are required to be incurred by a…
Q: Marco Enterprises manufactures one of the components used to assemble its main company product.…
A: Relevant Cost :— It is the cost that is relevant for making decisions regarding make or buy.…
Q: In the DuPont formula, return on assets equals: Multiple Choice Profit margin on sales x Inventory…
A: Return on assets is a method used to evaluate the profitability of the company. It also measures…
Q: Break-even sales and sales to realize operating income For the current year ended March 31,…
A: The variable cost per unit must be deducted from the selling price per unit in order to calculate…
Q: Required information Skip to question [The following information applies to the questions…
A: Income Statement - Income Statement includes income earned and expense incurred during the financial…
Q: The following instances may dissolve the partnership except * retirement of a partner change in…
A: “Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: The unadjusted trial balance of X Company on December 31, 2021 showed the Accounts Receivable with a…
A: Bad debts are those kinds of customers that become uncollectible. These are charged in the income…
Q: The following information is available for the Johnson Corporation: Beginning inventory Inventory…
A: Perpetual inventory method of accounting keep the track of inventory continuously whenever a product…
Step by step
Solved in 2 steps
- Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.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.Raun Company had the following equity items as of December 31, 2019: Preferred stock, 9% cumulative, 100 par, convertible Paid-in capital in excess of par value on preferred stock Common stock, 1 stated value Paid-in capital in excess of stated value on common stock| Retained earnings The following additional information about Raun was available for the year ended December 31, 2019: 1. There were 2 million shares of preferred stock authorized, of which 1 million were outstanding. All 1 million shares outstanding were issued on January 2, 2016, for 120 a share. The preferred stock is convertible into common stock on a 1-for-1 basis until December 31, 2025; thereafter, the preferred stock ceases to be convertible and is callable at par value by the company. No preferred stock has been converted into common stock, and there were no dividends in arrears at December 31, 2019. 2. The common stock has been issued at amounts above stated value per share since incorporation in 2002. Of the 5 million shares authorized, 3,580,000 were outstanding at January 1, 2019. The market price of the outstanding common stock has increased slowly but consistently for the last 5 years. 3. Raun has an employee share option plan where certain key employees and officers may purchase shares of common stock at 100% of the marker price at the date of the option grant. All options are exercisable in installments of one-third each year, commencing 1 year after the date of the grant, and expire if not exercised within 4 years of the grant date. On January 1, 2019, options for 70,000 shares were outstanding at prices ranging from 47 to 83 a share. Options for 20,000 shares were exercised at 47 to 79 a share during 2019. During 2019, no options expired and additional options for 15,000 shares were granted at 86 a share. The 65,000 options outstanding at December 31, 2019, were exercisable at 54 to 86 a share; of these, 30,000 were exercisable at that date at prices ranging from 54 to 79 a share. 4. Raun also has an employee share purchase plan whereby the company pays one-half and the employee pays one-half of the market price of the stock at the date of the subscription. During 2019, employees subscribed to 60,000 shares at an average price of 87 a share. All 60,000 shares were paid for and issued late in September 2019. 5. On December 31, 2019, there was a total of 355,000 shares of common stock set aside for the granting of future share options and for future purchases under the employee share purchase plan. The only changes in the shareholders equity for 2019 were those described previously, the 2019 net income, and the cash dividends paid. Required: Prepare the shareholders equity section of Rauns balance sheet at December 31, 2019. Substitute, where appropriate, Xs for unknown dollar amounts. Use good form and provide full disclosure. Write appropriate notes as they should appear in the publisher financial statements.
- 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. 190,000Silva 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.Anoka Company reported the following selected items in the shareholders equity section of its balance sheet on December 31, 2019, and 2020: In addition, it listed the following selected pretax items as a December 31, 2019 and 2020: The preferred shares were outstanding during all of 2019 and 2020; annual dividends were declared and paid in each year. During 2019, 2,000 common shares were sold for cash on October 4. During 2020, a 20% stock dividend was declared and issued in early May. At the end of 2019 and 2020, the common stock was selling for 25.75 and 32.20, respectively. The company is subject to a 30% income tax rate. Required: 1. Prepare the comparative 2019 and 2020 income statements (multiple-step), and the related note that would appear in Anokas 2020 annual report. 2. Next Level Compute the price/earnings ratio for 2020. How does this compare to 2019? Why is it different?
- 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.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.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.
- Comprehensive Young Corporation has been operating successfully for several years. It is authorized to issue 24,000 shares of no-par common stock and 6,000 shares of 8%, 100 par preferred stock. The Contributed Capital section of its January 1, 2019, balance sheet is as follows: Part a. A shareholder has raised the following questions: 1. What is the legal capital of the corporation? 2. At what average price per share has the preferred stock been issued? 3. How many shares of common stock have been issued (the common stock has been issued at an average price of 23 per share)? Part b. The company engaged in the following transactions in 2019: Required: 1. Answer the questions in Part a. 2. Prepare journal entries to record the transactions in Part b. 3. Prepare the Contributed Capital section of Youngs December 31, 2016, balance sheet.Statement of Stockholders' Equity At the end of 2019, Stanley Utilities Inc. had the following equity accounts and balances: During 2020, Stanley Utilities engaged in the following transactions involving its equity accounts: Sold 3,300 shares of common stock for $15 per share. Sold 1,000 shares of 12%, $100 par preferred stock at $105 per share. Declared and paid cash dividends of $8,000. Repurchased 1,000 shares of treasury stock (common) for $38 per share. Sold 400 of the treasury shares for $42 per share. Required: Prepare the journal entries for Transactions a through e. Assume that 2020 net income was $87,000. Prepare a statement of stockholders equity at December 31, 2020.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.