Question 1

On February 1 of the current year, Motor, Inc. issued 700 shares of $2 par common stock to an attorney in return for preparing and filing the Articles of Incorporation. The value of the services is $9,600. Journalize this transaction.

Accepted Answer

The answer of On February 1 of the current year,...

Question 2

On January 1, 2011 a company had the following data:
- issued 10,000 shares of $2.00 par value common stock for $12.00 per share
- issued 3,000 shares of $50 par value 6% cumulative preferred stock for $70 per share
- purchased 1,000 shares of previously issued common stock for $15.00 per share
The company had the following dividend information available:
2011 - No dividend paid
2012 - Paid a $2,000 total dividend
2013 - Paid a $17,000 total dividend
2014 - paid a $32,000 total dividend
Using the following format, fill in the correct values for each year;

Accepted Answer

The answer of On January 1, 2011 a company had...

Question 3

The following transactions took place for the XYZ Corporation;
a. November 12th - Declared a total cash dividend of $45,000 for stockholders of record November 20th payable on December 1st. Record the journal entry, if necessary, for the following events;
Nov. 12 -
Nov. 20 -
Dec. 1 -
b. Briefly describe the significance of November 20th.

Accepted Answer

The answer of The following transactions took place for the...

Question 4

Sabas Company has 20,000 shares of $100 par, 1% non-cumulative preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends:
  Determine the dividends per share for preferred and common stock for each year.

Accepted Answer

The answer of Sabas Company has 20,000 shares of $100...

Question 5

On April 10, a company acquired land in exchange for 1,000 shares of $20 par common stock with a current market price of $73. Journalize this transaction.

Accepted Answer

The answer of On April 10, a company acquired land...

Question 6

A company had the following stockholders equity information available at year end.
- issued 11,000 shares of $2.00 par value common stock for $12.00 per share
- issued 5,000 shares of $50 par value 6% preferred stock for $70 per share
- purchased 1,000 shares of previously issued common stock for $15.00 per share
-reported net income of $200,000
- declared and paid the preferred stock dividend
Calculate the earnings per share for the current year.

Accepted Answer

The answer of A company had the following stockholders equity...

Question 7

On April 1, 10,000 shares of $5 par common stock were issued at $22, and on April 7, 5,000 shares of $50 par preferred stock were issued at $104. Journalize the entries for April 1 and 7.

Accepted Answer

The answer of On April 1, 10,000 shares of $5...

Question 8

A company had stock outstanding as follows during each of its first three years of operations: 2,500 shares of $10, $100 par, cumulative preferred stock and 50,000 shares of $10 par common stock. The amounts distributed as dividends are presented below. Determine the total and per share dividends for each class of stock for each year by completing the schedule.

Accepted Answer

The answer of A company had stock outstanding as follows...

Question 9

Vincent Corporation has 100,000 share of $100 par common stock outstanding. On June 30, Vincent Corporation declared a 5% stock dividend to be issued on July 30 to stockholders of record July 15. The market price of the stock was $132 a share on June 30. Journalize the entries required on June 30, July 15 and July 30.

Accepted Answer

The answer of Vincent Corporation has 100,000 share of $100...

Question 10

The dates of importance in connection with a cash dividend of $50,000 on a corporation's common stock are January 15, February 15, and March 15. Journalize the entries required on each date.

Accepted Answer

The answer of The dates of importance in connection with...

Question 11

A corporation, which had 18,000 shares of common stock outstanding, declared a 3-for-1 stock split.

Accepted Answer

The answer of A corporation, which had 18,000 shares of...

Question 12

Morocco Inc. reported the following results for the year ending April 30, 2014:
  Prepare a retained earnings statement for the fiscal year ended April 30, 2014.

Accepted Answer

The answer of Morocco Inc. reported the following results for...

Question 13

On April 2nd a corporation purchased for cash 5,000 shares of its own $10 par common stock at $16 a share. They sold 3,000 of the treasury shares at $19 a share on June 15th. The remaining 2,000 shares were sold on November 10th for $12 a share.

Accepted Answer

The answer of On April 2nd a corporation purchased for...

Question 14

Using the following accounts and balances, prepare the Stockholders' Equity section of the balance sheet. Fifty thousand shares of common stock are authorized, and 5,000 shares have been reacquired.

Accepted Answer

The answer of Using the following accounts and balances, prepare...

Question 15

On May 1, 10,000 shares of $10 par common stock were issued at $30, and on May 7, 5,000 shares of $50 par preferred stock were issued at $111. Journalize the entries for May 1 and May 7.

Accepted Answer

The answer of On May 1, 10,000 shares of $10...

Question 16

On June 5, Belen Corporation reacquired 3,300 shares of its common stock at $45 per share. On July 15, Belen sold 2,000 of the reacquired shares at $48 per share. On August 30, Belen sold the remaining shares at $42 per share.
Journalize the transactions of June 5, July 15, and August 30.

Accepted Answer

The answer of On June 5, Belen Corporation reacquired 3,300...

Question 17

Sabas Company has 40,000 shares of $100 par, 1% preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends:
  Determine the dividends per share for preferred and common stock for each year.

Accepted Answer

The answer of Sabas Company has 40,000 shares of $100...

Question 18

Indicate whether the following actions would (+) increase, (-) decrease, or (0) not affect a company's total assets, liabilities, and stockholders' equity.

Accepted Answer

The answer of Indicate whether the following actions would (+)...

Question 19

Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends:
  Determine the dividends per share for preferred and common stock for each year.

Accepted Answer

The answer of Sabas Company has 20,000 shares of $100...

Question 20

On May 10, a company issued for cash 1,500 shares of no-par common stock (with a stated value of $2) at $14, and on May 15, it issued for cash 2,000 shares of $15 par preferred stock at $58.
Journalize the entries for May 10 and 15, assuming that the common stock is to be credited with the stated value.

Accepted Answer

The answer of On May 10, a company issued for...

Quiz 11: Corporations: Organization, Stock Transactions, and Dividends

On February 1 of the current year, Motor, Inc. issued 700 shares of $2 par common stock to an attorney in return for preparing and filing the Articles of Incorporation. The value of the services is $9,600. Journalize this transaction.

Sabas Company has 20,000 shares of $100 par, 1% non-cumulative preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends: Determine the dividends per share for preferred and common stock for each year.

On April 10, a company acquired land in exchange for 1,000 shares of $20 par common stock with a current market price of $73. Journalize this transaction.

On April 1, 10,000 shares of $5 par common stock were issued at $22, and on April 7, 5,000 shares of $50 par preferred stock were issued at $104. Journalize the entries for April 1 and 7.

The dates of importance in connection with a cash dividend of $50,000 on a corporation's common stock are January 15, February 15, and March 15. Journalize the entries required on each date.

A corporation, which had 18,000 shares of common stock outstanding, declared a 3-for-1 stock split.

Morocco Inc. reported the following results for the year ending April 30, 2014: Prepare a retained earnings statement for the fiscal year ended April 30, 2014.

On April 2nd a corporation purchased for cash 5,000 shares of its own $10 par common stock at $16 a share. They sold 3,000 of the treasury shares at $19 a share on June 15th. The remaining 2,000 shares were sold on November 10th for $12 a share.

Using the following accounts and balances, prepare the Stockholders' Equity section of the balance sheet. Fifty thousand shares of common stock are authorized, and 5,000 shares have been reacquired.

On May 1, 10,000 shares of $10 par common stock were issued at $30, and on May 7, 5,000 shares of $50 par preferred stock were issued at $111. Journalize the entries for May 1 and May 7.

On June 5, Belen Corporation reacquired 3,300 shares of its common stock at $45 per share. On July 15, Belen sold 2,000 of the reacquired shares at $48 per share. On August 30, Belen sold the remaining shares at $42 per share. Journalize the transactions of June 5, July 15, and August 30.

Sabas Company has 40,000 shares of $100 par, 1% preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends: Determine the dividends per share for preferred and common stock for each year.

Indicate whether the following actions would (+) increase, (-) decrease, or (0) not affect a company's total assets, liabilities, and stockholders' equity.

Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of $50 par common stock. The following amounts were distributed as dividends: Determine the dividends per share for preferred and common stock for each year.