Question

Italian Stallion has the following transactions during the year related to stockholders' equity February 1 I S 5,600 shares of no-par common stock for $15 per share May 15 Issues 400 shares of $10 par value, 10.5% preferred stock for $12 per share October 1 Declares a cash dividend of 51 05 per share to all stockholders of record (both common and preferred) on October 15 October 15 Date of record. October 31 Pays the cash dividend declared on October 1 Required: Record each of these transactions. (If no entry is required for a transaction/event, select "No journal entry required in the first account field.) View transaction list View journal entry worksheet Debit Credit General Journal Date February 01 Common stock May 15 Cash Preferred stock Additional paid in capital 23 October 01 Dividends Dividends payable October 31 Dividends payable 5 Cash

Answer 1

Italian stallion has the follow Dote Account Nome cash To common stock Debit $ 84000 $94000 Febo1 U800 may is cash TO preferred stock TO Additional paid in capital $ 4000 $ 800 oct 1 Dividends TO Dividend payable S 6300 $ 6300 OC+IS NO Journal entry sequi sed Oct 31 Dividend payable To cash 6300 $ 6300 5600 shore XS 15 = $ 84000 (21 cash [400 shares +$12] = $4800 pret stock C 4oor & 10) - $4000 Add.pardin cou [400 - C12-10)] $ 800 5600 (37 common stock paer stock Togel 6000 X $1.05 = $6300