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Financial Accounting, Student Value Edition Plus MyLab Accounting with Pearson eText -- Access Card Package (5th Edition)
5th Edition
ISBN: 9780134833170
Author: Robert Kemp, Jeffrey Waybright
Publisher: PEARSON
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Chapter 10, Problem 27AE
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(Learning Objectives 2, 3, 4: Reconstruct transactions from the financial statements)Parker Networking Solutions began operations on January 1, 2018, and immediately issuedits stock, receiving cash. Parker’s balance sheet at December 31, 2018, reported the followingstockholders’ equity:Common stock, $1 par...................... $ 59,000Additional paid-in capital.................. 473,500Retained earnings.............................. 40,000Treasury stock, 300 shares................ (3,600)Total stockholders’ equity............ $568,900During 2018, Parkera. issued stock for $9 per share.b. purchased 800 shares of treasury stock, paying $12 per share.c. resold some of the treasury stock.d. declared and paid cash dividends.
(Learning Objective 6: Analyze and evaluate liquidity and debt-paying ability) LO 6McClain Company’s condensed and adapted balance sheet at December 31, 2018, follows:(In millions)Total current assets....................................................... $15.9Property, plant, equipment, and other assets................. 16.2$32.1Total current liabilities.................................................. $ 9.6Total long-term liabilities.............................................. 5.5Total shareholders’ equity............................................. 17.0$32.1Assume that during the first quarter of the following year, 2019, McClain completed the following transactions:a. Earned revenue of $2.8 million, on account.b. Borrowed $7.0 million in long-term debt.c. Paid half of the current liabilities.d. Paid selling expense of $0.6 million.e. Accrued general expense of $0.8 million. Credit General Expense Payable, a currentliability.f. Purchased equipment for $4.6 million, paying cash…
31. Closed the credit balance of the income summary account, $269,400.
2. Journalize the entries to record the transactions, and post to the eight selected
Treasury Stock; Stock Dividends Distributable; Stock Dividends; Cash Dividends.
listed. Also prepare T accounts for the following: Paid-In Capital from Sale cf
July 1. Declared a 4% stock dividend on common stock, to be capitalized at the
1. Enter the January 1 balances in T accounts for the stockholders' equity accounts
FROBLEM 12-4B
Btries for selected
oporate transactions
Objectives 4, 5, 7, 8
Shoshone Enterprises Inc. manufactures bathroom fixtures. The stockholders' equity
accounts of Shoshone Enterprises Inc., with balances on January 1, 2006, are as
follows:
Common Stock, $20 stated value (100,000 shares authorized,
75,000 shares issued)
Paid-In Capital in Excess of Stated Value
Retained Earnings..
Treasury Stock (5,000 shares, at cost)
$1,500,000
180,000
725,000
140,000
ADNET
ASS
The following selected transactions occurred…
Chapter 10 Solutions
Financial Accounting, Student Value Edition Plus MyLab Accounting with Pearson eText -- Access Card Package (5th Edition)
Ch. 10 - What are the four baste rights of stockholders?Ch. 10 - Assume you are a CFO of a company that is...Ch. 10 - Prob. 3DQCh. 10 - What accounts, if any, are involved in the journal...Ch. 10 - With which type of stock would dividends in...Ch. 10 - What accounts are affected by the declaration and...Ch. 10 - What are some of the reasons for issuing a stock...Ch. 10 - Prob. 8DQCh. 10 - What could you reasonably conclude if a company...Ch. 10 - Prob. 10DQ
Ch. 10 - Prob. 1SCCh. 10 - Prob. 2SCCh. 10 - Prob. 3SCCh. 10 - Prob. 4SCCh. 10 - Prob. 5SCCh. 10 - Prob. 6SCCh. 10 - Prob. 7SCCh. 10 - Prob. 8SCCh. 10 - Prob. 9SCCh. 10 - Prob. 10SCCh. 10 - Prob. 11SCCh. 10 - Prob. 12SCCh. 10 - Stockholders' equity terminology (Learning...Ch. 10 - Stock issuance (Learning Objective 3) 5-10 min....Ch. 10 - Issuance of stock for cash and noncash assets...Ch. 10 - Prob. 4SECh. 10 - Prob. 5SECh. 10 - Prob. 6SECh. 10 - Prob. 7SECh. 10 - Accounting for cash dividends (Learning Objective...Ch. 10 - Prob. 9SECh. 10 - Prob. 10SECh. 10 - Prob. 11SECh. 10 - Prob. 12SECh. 10 - Prob. 13SECh. 10 - Prob. 14SECh. 10 - Prob. 15AECh. 10 - Issuing stock (Learning Objectives 3 7) 10-15 min....Ch. 10 - Prob. 17AECh. 10 - Prob. 18AECh. 10 - Prob. 19AECh. 10 - Accounting for cash dividends (Learning Objective...Ch. 10 - Prob. 21AECh. 10 - Accounting for cash and stock dividends (Learning...Ch. 10 - Prob. 23AECh. 10 - Prob. 24AECh. 10 - Prob. 25AECh. 10 - Accounting for treasury stock (Learning Objectives...Ch. 10 - Prob. 27AECh. 10 - Prob. 28AECh. 10 - Prob. 29AECh. 10 - Calculating return on equity (Learning Objective...Ch. 10 - Prob. 31BECh. 10 - Prob. 32BECh. 10 - Prob. 33BECh. 10 - Prob. 34BECh. 10 - Prob. 35BECh. 10 - Prob. 36BECh. 10 - Accounting for stock dividends (Learning...Ch. 10 - Accounting for cash and stock dividends (Learning...Ch. 10 - Prob. 39BECh. 10 - Prob. 40BECh. 10 - Accounting for treasury stock (Learning Objectives...Ch. 10 - Prob. 42BECh. 10 - Disclosing stockholders equity on a balance sheet...Ch. 10 - Accounting for various stockholders' equity...Ch. 10 - Prob. 45BECh. 10 - Prob. 46BECh. 10 - Prob. 47APCh. 10 - Analyzing stockholders equity (Learning Objectives...Ch. 10 - Analyzing stockholders equity (Learning Objectives...Ch. 10 - Accounting for cash dividends (Learning Objective...Ch. 10 - Accounting for various stockholders equity...Ch. 10 - Prob. 52APCh. 10 - Prob. 53APCh. 10 - Prob. 54BPCh. 10 - Prob. 55BPCh. 10 - Analyzing stockholders equity (Learning Objectives...Ch. 10 - Accounting for cash dividends (Learning Objective...Ch. 10 - Prob. 58BPCh. 10 - Prob. 59BPCh. 10 - Prob. 60BPCh. 10 - Prob. 1CECh. 10 - Continuing Problem This problem continues our...Ch. 10 - Prob. 1EIACh. 10 - Case 2. The board of directors for Atlantic...Ch. 10 - Financial Analysis Purpose: To help familiarize...Ch. 10 - Prob. 1IACh. 10 - Prob. 1SBACh. 10 - Written Communication You just got off the...
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- Shown below is the stockholders’ equity section of Powell’s balance sheet at December 31, 2009: Stockholders’ equity: Common stock, $2 par value, 500,000 shares authorized, ?? shares issued……………………………………………………$500,000 Additional paid-in capital common stock…………………………$1,750,000 Total paid in capital…………………………………………………$2,250,000 Retained earnings………………………………………………….2,400,000 Total stockholders’ equity………………………………………….$4650,000 In 2010, the following events occurred: Powell issued 2,500 shares of $2 par common stock as payment for legal services. Although Powell’s stock is not traded on any exchange, the agreed-upon value of the legal services is $80,000. Powell issued 4,500 shares of 6% cumulative preferred stock, $100 par value, for $106 per share. The board of directors declared a dividend of $1.25 per share on the common stock. Powell’s net income for 2007 was $675,000. Instructions Complete in good form the stockholders’ equity section of a balance sheet prepared for Powell at…arrow_forward4. Notebook Company had the following transactions in 2019, its first year of operations. Issued 2,000 shares of common stock. Stock has par value of $1.00 per share and was issued at $50.00 per share. Issued 100 shares of $100 par value preferred stock. Shares were issued at par. Earned net income of $95,000. Paid dividends of $5,000. At the end of 2019, prepare the stockholders’ Equity section.arrow_forwardUse the following information for Questions 9–10.Porter Co. reported the following on its December 31, 2013, balance sheet: Liabilities and Stockholders’ Equity:Accounts payable . . . . . . . . . . . . . . . . . . . . $ 3,000Notes payable. . . . . . . . . . . . . . . . . . . . . . . 22,000Bonds payable . . . . . . . . . . . . . . . . . . . . . . 45,000Common stock . . . . . . . . . . . . . . . . . . . . . . 110,000Preferred stock . . . . . . . . . . . . . . . . . . . . . . 20,000Additional paid-in capital . . . . . . . . . . . . . . . 70,000Retained earnings . . . . . . . . . . . . . . . . . . . . 32,000Treasury stock. . . . . . . . . . . . . . . . . . . . . . . 12,000 9. The debt/equity ratio for Porter Co. in 2013 (rounded) isa. 20.5%b. 24.1%c. 28.7%d. 31.8%10. The debt ratio for Porter Co. in 2013 (rounded) isa. 20.5%b. 24.1%c. 28.7%d. 31.8%arrow_forward
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Stockholders Equity: How to Calculate?; Author: Accounting University;https://www.youtube.com/watch?v=2jZk1T5GIlw;License: Standard Youtube License