Question

Selected transactions completed by ATV Discount Corporation during the current fiscal year are as follows:

Jan. 5. Split the common stock 3 for 1 and reduced the par from $75 to $25 per share. After the split, there were 1,150,500 common shares outstanding.
Mar. 10. Purchased 41,400 shares of the corporation’s own common stock at $28, recording the stock at cost.
Apr. 30. Declared semiannual dividends of $0.80 on 74,100 shares of preferred stock and $0.12 on the common stock to stockholders of record on May 15, payable on June 15.
June 15. Paid the cash dividends.
Aug. 20. Sold 29,000 shares of treasury stock at $33, receiving cash.
Oct. 15 Declared semiannual dividends of $0.80 on the preferred stock and $0.12 on the common stock (before the stock dividend). In addition, a 2% common stock dividend was declared on the common stock outstanding. The fair market value of the common stock is estimated at $36. The dividend date of record is November 15 payable on December 19.
Dec. 19. Paid the cash dividends and issued the certificates for the common stock dividend.

Journalize the transactions. If no entry is required, simply skip to the next transaction. Refer to the Chart of Accounts for exact wording of account titles.

Instructions Selected transactions completed by ATV Discount Corporation during the current fiscal year are as follows: Jan. 5. Mar. 10. 30. Apr. June 15. Split the common stock 3 for 1 and reduced the par from $75 to $25 per share. After the split, there were 1,150,500 common shares outstanding. Purchased 41,400 shares of the corporation's own common stock at $28, recording the stock at cost. Declared semiannual dividends of $0.80 on 74,100 shares of preferred stock and $0.12 on the common stock to stockholders of record on May 15, payable on June 15. Paid the cash dividends. Sold 29,000 shares of treasury stock at $33, receiving cash. Declared semiannual dividends of $0.80 on the preferred stock and $0.12 on the common stock (before the stock dividend). In addition, a 2% common stock dividend was declared on the common stock outstanding. The fair market value of the common stock is estimated at $36. The dividend date of record is November 15 payable on December 19. Aug. Oct. 20. 15 Dec. 19. Paid the cash dividends and issued the certificates for the common stock dividend.

Answer 1

I credit Answer: Journal enlig particulars ILF Date bebit Jan-5 No Entry required. Mar-lo Treasury stocke Ak (41.400x$ 287 Dr 16322 L159200 scao, $1,159200 1. To cash Being purchase of Treasury slock] Apr-30 Cash Dividendo ale or $ 192,372 (74,100 x $0.80)+((1150,500-41400)xtare $192,372 To cash dividend payable Being Declaration of dividend] sunets Cash dividends payable Ale or $192,372 $192,372 - To cash being payments of dividendo] Aug-20 Cash Ak (29000 *$33) DY $957,000 To Treasury stock 29,000x428) $812,000 To paid in Capital from $145,000 sale of treasury stock [29000x633-$2$)] Being sale of treasury stock] oct-15 cash dividends ale $195,852 (74,100 x$0.80)+(150500 29000x0,12] $195, 852 being declaration of dividend] stock dividends ale DY $819492 [(1150,500 - 41,400 +29009) x 2% x $36] 1. To stock dividenda pisty, butable $569.050 1.150500-42400 +29.000)*2% Ⓡ$25 To paid in capital in excess $250382 of par common stock iseing Declaration of stock dividena]. 19 Cash dividends payable Ak or $195,852 1. To cash $195852 payment of dividend Tcash dividends distributable Afe or $569.050 Beine Being Issue of common stock dividends]. . To common stock $569050 pr To cash dividend payable