Kenner Corporation's stockholders' equity section at December 31, 2009 appears below:
On June 30, 2010, the board of directors of Kenner Corporation declared a 20% stock dividend, payable on July 31, 2010, to stockholders of record on July 15, 2010. The fair market value of Kenner Corporation's stock on June 30, 2010, was $15.
On December 1, 2010, the board of directors declared a 2 for 1 stock split effective December 15, 2010. Kenner Corporation's stock was selling for $20 on December 1, 2010, before the stock split was declared. Par value of the stock was adjusted. Net income for 2010 was $190,000 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 Kenner Corporation at December 31, 2010, for the following items:
1. Common stock $____________
2. Number of shares outstanding _____________
3. Par value per share $____________
4. Paid-in capital in excess of par $____________
5. Retained earnings $____________
6. Total stockholders' equity $____________

Question

Kenner Corporation's stockholders' equity section at December 31, 2009 appears below:  
On June 30, 2010, the board of directors of Kenner Corporation declared a 20% stock dividend, payable on July 31, 2010, to stockholders of record on July 15, 2010. The fair market value of Kenner Corporation's stock on June 30, 2010, was $15.
On December 1, 2010, the board of directors declared a 2 for 1 stock split effective December 15, 2010. Kenner Corporation's stock was selling for $20 on December 1, 2010, before the stock split was declared. Par value of the stock was adjusted. Net income for 2010 was $190,000 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 Kenner Corporation at December 31, 2010, for the following items:
1. Common stock $____________
2. Number of shares outstanding _____________
3. Par value per share $____________
4. Paid-in capital in excess of par $____________
5. Retained earnings $____________
6. Total stockholders' equity $____________

Quizplus · Accepted Answer

The Answer of Kenner Corporation's stockholders' equity section at December 31, 2009 appears below:  
On June 30, 2010, the board of directors of Kenner Corporation declared a 20% stock dividend, payable on July 31, 2010, to stockholders of record on July 15, 2010. The fair market value of Kenner Corporation's stock on June 30, 2010, was $15.
On December 1, 2010, the board of directors declared a 2 for 1 stock split effective December 15, 2010. Kenner Corporation's stock was selling for $20 on December 1, 2010, before the stock split was declared. Par value of the stock was adjusted. Net income for 2010 was $190,000 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 Kenner Corporation at December 31, 2010, for the following items:
1. Common stock $____________
2. Number of shares outstanding _____________
3. Par value per share $____________
4. Paid-in capital in excess of par $____________
5. Retained earnings $____________
6. Total stockholders' equity $____________

Kenner Corporation's Stockholders' Equity Section at December 31, 2009 Appears