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Financial & Managerial Accounting 3rd Edition by Charles Horngren,Harrison, Walter,Suzanne Oliver
Edition 3ISBN: 978-0132962339Financial & Managerial Accounting 3rd Edition by Charles Horngren,Harrison, Walter,Suzanne Oliver
Edition 3ISBN: 978-0132962339 Exercise 40
Sources of equity, stock issuance, and dividends
Terrific Comfort Specialists, Inc., reported the following stockholders' equity on its balance sheet at June 30, 2012:
Requirements
1. Identify the different issues of stock that Terrific has outstanding.
2. What is the par value per share of Terrific's preferred stock
3. Make two summary journal entries to record issuance of all the Terrific stock for cash. Explanations are not required.
4. No preferred dividends are in arrears. Journalize the declaration of a $600,000 dividend at June 30, 2012. Use separate Dividends payable accounts for preferred and common. An explanation is not required.
Terrific Comfort Specialists, Inc., reported the following stockholders' equity on its balance sheet at June 30, 2012:
Requirements
1. Identify the different issues of stock that Terrific has outstanding.
2. What is the par value per share of Terrific's preferred stock
3. Make two summary journal entries to record issuance of all the Terrific stock for cash. Explanations are not required.
4. No preferred dividends are in arrears. Journalize the declaration of a $600,000 dividend at June 30, 2012. Use separate Dividends payable accounts for preferred and common. An explanation is not required.
Explanation
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2.
Step 1. Read the exercise.
Step 2. ...
Financial & Managerial Accounting 3rd Edition by Charles Horngren,Harrison, Walter,Suzanne Oliver
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