Question

Problem 14-01A a-c (Part Level Submission) (Video) On January 1, 2020, Crane Corporation had the following stockholders' equity accounts Common Stock ($26 par value, 50,000 shares issued and outstanding) $1,300,000 Paid-in Capital in Excess of Par-Common Stock 194,000 Retained Earnings 619,000 During the year, the following transactions occurred, Feb. 1 Declared a $2 cash dividend per share to stockholders of record on February 15, payable March 1. Mar. 1 Paid the dividend dedared in February Apr. 1 Announced a 2-for-stock split. Prior to the split, the market price per share was $36. Daly 1 Declared a 10% stock dividend to stockholders of record on July 15, distributable July 31. on July 1, the market price of the stock - 31 Issued the shares for the stock dividend. Dec. 1 Declared a $6.40 per share dividend to stockholders of record on December 15, payable January 5, 2021. 31 Determined that net income for the year was $393,500. $15 per share (a) Your answer is partially correct. Try again. hearts and the closing entries for et income and dividends. Credit countes are u nder inden "No Entry for the account titles and enter for the amounts Record jour presented in the problem, Date Feb. 1 Account Titles and Explanation Cash Dividends Dividends Payable Mar 23 Dividends Payable Cash Apre try y! stry Stock Dividends Common Stock Dividends Distrbutable MacBc. JOOOOOGOOD WOROTUNO
please answer white blank slots with the tiny "x"

Answer 1

solution ! Journal Entries Date Account Titles and Explanation : Debitló) Credit($) Febrn Gash Dividends (50.000+$2) $100.000 1 . Dividends payable $100,000 . (to record dividend declared) . . . . Mar-1 Dividend payable $1001000 cash $100,000 (to record dividend paid). Apy - 1 No Entry $0 $0 . July-1 Stock Dividends (100.0004 $15+10%) $150.000 Common stock Dividend Distributible < 130,000 & Booooo paid in capital in excess of Par value D.000 (to record 101 Stock Dividends to stock holars) gezee

1301000 Juilly-31 130,000 SOF000 common stock Dividend Distributable $100000 common stock (to record shares issued for the Stock Dividend) . $441060 S4410oo Dec-1 1 - . Gash Dividend (110,000x6o.u) Dividend payable Ito record Dividend Declared) $393,500 Dec-31 . Income summary $393,500 Retained earnings (to close net income) -Dec-31 retained Earnings $150.000 stock Dividend to close stock Dividends DEG-31 Retained Earnings ($100.000+ $4,000) $144,000 cash dividend. {to close cash dividend) $.150,000 : $lin.ooo

Notes: D on April 1, no entry is required for a stock split, but it should be noted that the no. of shares issued and outstanding is now 50.000 42=100,000, and the par valle is now $13. 2) on July 1, common stock Dividend distributable = 100.000 115 110/ = $130,000 I 3) on July 31, The number of shares issued and outstanding : is now 110.000 lie 100,000 plus 101)

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