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Juno Corporation's Stockholders' Equity Section at December 31 2016 Appears

Question 158

Essay

Juno Corporation's stockholders' equity section at December 31 2016 appears below:
Stockholders' equity
Paid-in capital  Common stock, $10 par, 60,000 outstanding $600,000 Paid-in capital in excess of par 150,000 Total paid-in capital $750,000 Retained earnings 150,000 Total stockholders’ equity $900,000\begin{array}{ll}\text { Common stock, } \$ 10 \text { par, } 60,000 \text { outstanding } & \$ 600,000 \\\text { Paid-in capital in excess of par } & \underline{ 150,000} \\\text { Total paid-in capital } && \$ 750,000 \\\text { Retained earnings } && \underline{ 150,000} \\\text { Total stockholders' equity } & & \underline{\$ 900,000}\end{array} On June 30 2017 the board of directors of Juno Corporation declared a 20% stock dividend payable on July 31 2017 to stockholders of record on July 15 2017. The fair value of Juno Corporation's stock on June 30 2017 was $15.
On December 1 2017 the board of directors declared a 2 for 1 stock split effective December 15 2017. Juno Corporation's stock was selling for $20 on December 1 2017 before the stock split was declared. Par value of the stock was adjusted. Net income for 2017 was $190000 and there were no cash dividends declared.
Instructions
(a) Prepare the journal entries on the appropriate dates to record the stock dividend and the stock split.
(b) Fill in the amount that would appear in the stockholders' equity section for Juno Corporation at December 31 2017 for the following items:  1. Common stock  2. Number of shares outstanding  3. Par value per share4. Paid-in capital in excess of par  5. Retained earnings 6. Total stockholders’ equity $$$$$\begin{array}{c}\begin{array}{l} \text { 1. Common stock } &\\ \text { 2. Number of shares outstanding } &\\ \text { 3. Par value per share} &\\ \text {4. Paid-in capital in excess of par } &\\ \text { 5. Retained earnings} &\\ \text { 6. Total stockholders' equity } &\\\end{array}\begin{array}{r}\$ \\\hline\\\hline \$ \\\hline \$ \\\hline \$ \\\hline \$ \\\hline\end{array}\end{array}

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