Question

x o casa i excel ranck Module o watylus ® GB518 Excel Track Module x WileyPLUS C on December 31, 2016 C On December 31, 2016, Sa X am + gen.wileyplus.com/edugen/lti/main.uni Oks Lo... AM 560 the An... G Kimmel, Accounting, 7e Help System Announcements Problem 11-03A On December 31, 2021, Sandhill Co. had 1,385,000 shares of $7 par common stock issued and outstanding. At December 31, 2021, stockholders' equity had the amou Common Stock Additional Paid-in Capital Retained Earnings $9,695,000 1,735,000 1,135,000 Transactions during 2022 and other information related to stockholders' equity accounts were as follows. 1. On January 10, issued at $113 per share 123,000 shares of $104 par value, 7% cumulative preferred stock. 2. On February 8, reacquired 18,700 shares of its common stock for $11 per share. 3. On May 9, declared the yearly cash dividend on preferred stock, payable June 10, to stockholders of record on May 31. 4. On June 8, declared a cash dividend of $1.45 per share on the common stock outstanding, payable on July 10, to stockholders of record on July 1. 5. Net income for 2022 was $3,515,000. Your answer is partially correct. Try again. Record the journal entries that are required for items 1-5 above. (Record entries in the order displayed in the problem statement. Credit account titles are entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Debit Credit Date Account Titles and Explanation

Answer 1

1. In the books of Sandhill Co. :

Date	Account Titles	Debit	Credit
2022		$	$
Jan 10	Cash	13,899,000
	Preferred Stock		12,792,000
	Paid-in Capital in Excess of Par Value : Preferred Stock		1,107,000
Feb 8	Treasury Stock	205,700
	Cash		205,700
May 9	Cash Dividends ( 123,000 x $ 104 x 7 % )	895,440
	Dividends Payable		895,440
June 8	Cash Dividends ( 1,385,000 - 18,700 ) x $ 1.45	1,981,135
	Dividends Payable		1,981,135
June 10	Dividends Payable	895,440
	Cash		895,440
July 10	Dividends Payable	1,981,135
	Cash		1,981,135
Dec 31	Income Summary	3,515,000
	Retained Earnings		3,515,000
Dec 31	Retained Earnings	2,876,575
	Cash Dividends		2,876,575

2.

Sandhill Co. Balance Sheet ( Partial ) December 31, 2022
Stockholders Equity
Paid-in Capital
Capital Stock
Common Stock	$9,695,000
Preferred Stock	12,792,000
Total Capital Stock		$ 22,487,000
Additional Paid-in Capital
Paid-in Capital in Excess of Par : Common Stock	1,735,000
Paid-in Capital in Excess of Par : Preferred Stock	1,107,000
Total Additional Paid-in Capital		2,842,000
Total Paid-in Capital		25,329,000
Retained Earnings		1,773,425
Total Paid-in Capital and Retained Earnings		27,102,425
Less: Treasury Stock		(205,700)
Total Stockholders Equity		$ 26,896,725