At the beginning of 20X1, the accounting records of Friends Corp. reported the following: Preferred shares,...
At the beginning of 20X1, the accounting records of Friends
Corp. reported the following:
| Preferred shares, 7,200 shares outstanding, no-par | $ | 238,320 | |
| Common shares, 181,000 shares outstanding, no-par | 539,380 | ||
| Contributed capital on common share retirement | 110,900 | ||
| Retained earnings | 554,500 | ||
During the year, the company acquired and retired shares, while
other shares were issued:
| 15 March | 25,100 common shares bought and retired at $4 per share | |
| 16 March | 4,000 preferred shares bought and retired at $35.50 per share | |
| 20 May | 9,100 common shares bought and retired at $1 per share | |
| 25 May | 1,500 preferred shares bought and retired at $18.40 per share | |
| 30 May | 10,700 common shares issued at $13.40 per share | |
| 15 Nov. | 4,800 common shares bought and retired at $28 per share |
Required:
1. Give journal entries to record each share retirement
transaction. (Round intermediate calculations to 2 decimal
places and Round your final answers to the nearest whole dollar. If
no entry is required for a transaction/event, select "No journal
entry required" in the first account field.)
2. Calculate the closing balance in each account in shareholders’
equity. (Round intermediate calculations to 2 decimal
places. Round your final answers to the nearest whole
dollar.)
Homework Answers
1.
| Journal Entries | ||||
| Date | Accounts | Debit ($) | Credit ($) | |
| 15 March | Common Shares Dr | 74798 | =539380/181000*25100 | |
| Contributed capital on common share retirement Dr | 25602 | |||
| Cash | 100400 | =25100*4 | ||
| (Being 25,100 common shares bought and retired at $4 per share.) | ||||
| 16 March | Preference Shares Dr | 132400 | =238320/7200*4000 | |
| Contributed capital on Preference share retirement Dr | 9600 | |||
| Cash | 142000 | =4000*35.5 | ||
| (Being 4,000 preferred shares bought and retired at $35.50 per share.) | ||||
| 20 May | Common Shares Dr | 27118 | =539380/181000*9100 | |
| Cash | 9100 | =9100*1 | ||
| Contributed capital on common share retirement | 18018 | |||
| (Being 9,100 common shares bought and retired at $1 per share.) | ||||
| 25 May | Preference Shares Dr | 49650 | =238320/7200*1500 | |
| Cash | 27600 | =1500*18.4 | ||
| Contributed capital on Preference share retirement | 22050 | |||
| (Being 1,500 preferred shares bought and retired at $18.40 per share.) | ||||
| 30 May | Cash Dr | 143380 | =10700*13.4 | |
| To Common Shares | 143380 | |||
| (Being 10,700 common shares issued at $13.40 per share.) | ||||
| 15 Nov | Common Shares Dr | 17701.91 | =(539380-74798-27118+143380)/(181000-25100-9100+10700)*4800 | |
| Contributed capital on common share retirement Dr | 103316 | Balance | ||
| Retained Earnings Dr | 13382.1 | Remaining from retained earnings | ||
| To Cash | 134400 | =4800*28 | ||
| (Being 4,800 common shares bought and retired at $28 per share.) | ||||
2.
| Shareholders' Equity | ||
| Preferred shares, 1700 shares outstanding, no-par | $56,270.0 | =238320-132400-49650 |
| Common shares, 152,700 shares outstanding, no-par | $5,63,142.1 | =539380-74798-27118+143380-17701.91 |
| Contributed capital on common share retirement | $0.0 | =110900-25602+18018-103316 |
| Contributed capital on Preference share retirement | $12,450.0 | =-9600+22050 |
| Retained earnings | $5,41,117.9 | =554500-13382.1 |
| Total Shareholders' Equity | $11,72,980.0 | |
Add Answer to:
At the beginning of 20X1, the accounting records of Friends
Corp. reported the following:
Preferred shares,...
At the beginning of 20X1, the accounting records of Friends Corp. reported the following: $ 2....
At the beginning of 20X1, the accounting records of Friends Corp. reported the following: $ 2. Preferred shares, 8.200 shares outstanding, no-par Common shares. 182.000 shares outstanding, no-par Contributed capital on common share retirement Retained earnings During the year, the company acquired and retired shares, while other shares were issued: 15 March 25.800 common shares bought and retired at $5 per share 16 March 4,900 preferred shares bought and retired at $30.30 per share 20 May 10.100 common shares bought...
On 1 January 20X1, Grey Corp. issued 378,000 no-par common shares at $4.30 per share. In...
On 1 January 20X1, Grey Corp. issued 378,000 no-par common shares at $4.30 per share. In 20X5, there were treasury stock transactions. On 15 January 20X5, the company purchased 4,500 of its own common shares at $3.30 per share to be held as treasury stock. On 1 March, 800 of the treasury shares were resold at $4.80. On 15 March, 500 shares were purchased for $170. On 31 March, 900 of the treasury shares were sold for $2.05. The remaining...
3. Saturn Enterprises Inc. reported the following shareholders' equity on December 31, 2017 Preferred shares, $1...
3. Saturn Enterprises Inc. reported the following shareholders' equity on December 31, 2017 Preferred shares, $1 annual cumulative dividend, no par value, redeemable at $105 Common shares, no par value, authorized -1,000,000 shares; issued and outstanding Contributed surplus- common shares authorized -100,000 shares; issued and outstanding-40,000 shares $4,000,000 500,000 shares 5,000,000 240,000 Retained earnings he following transactions occurred in 2018: Jan 1, Saturn redeemed 10,000 preferred shares at call price. June 1, Saturn retired 100,000 common shares for $15 per...
Weighted Average Shares At the beginning of 2014, Hardin Company had 230,000 shares of $10 par...
Weighted Average Shares At the beginning of 2014, Hardin Company had 230,000 shares of $10 par common stock outstanding. During the year, it engaged in the following transactions related to its common stock: March 1 Issued 43,000 shares of stock at $22 per share. June 1 Issued a 15% stock dividend. July 1 Issued 9,000 shares of stock at $27 per share. Aug. 31 Issued a 2-for-1 stock split on outstanding shares, reducing the par value to $5 per share....
Dividends Per Share Sandpiper Company has 15,000 shares of cumulative preferred 1% stock, $50 par and...
Dividends Per Share Sandpiper Company has 15,000 shares of cumulative preferred 1% stock, $50 par and 50,000 shares of $10 par common stock. The following amounts were distributed as dividends: Year 1 $15,000 Year 2 3,000 Year 3 22,500 Determine the dividends per share for preferred and common stock for each year. Round all answers to two decimal places. If an answer is zero, enter '0'. Year 1 Year 2 Year 3 Preferred stock (Dividends per share) $ $ $...
1. Cal Cookie Company (CCC) has 100 million shares of $1 par common stock authorized. The...
1. Cal Cookie Company (CCC) has 100 million shares of $1 par common stock authorized. The transactions below caused changes in CCC's outstanding shares. January 4, Repurchased and retired 2.20 million shares at 2018: $7.80 per share. 25, Repurchased and retired 3.20 million shares at 2018: $3.20 per share. June Prior to the transactions, CCC's shareholders' equity included the following: Common stock, 79.80 million shares at S 79.800.000 $1 par Paid-in capital - excess of par 255,360,000 Retained earnings 118,000,000...
On May 1, Page Corporation incorporated and authorized 181,000 preferred shares and an unlimited number of...
On May 1, Page Corporation incorporated and authorized 181,000 preferred shares and an unlimited number of common shares. On May 2, Page issued 2,100 common shares for $16 per share. On June 15, it issued an additional 900 common shares for $18 per share. On November 1, Page issued 220 preferred shares for $27 per share. On December 15, it issued an additional 220 preferred shares for $35 per share. Record the share transactions. (Credit account titles are automatically indented...
On January 1, Lorain Corporation had 2,000 shares of $5 par common stock authorized and outstanding....
On January 1, Lorain Corporation had 2,000 shares of $5 par common stock authorized and outstanding. These shares were originally issued at a price of $26 per share. In addition, 500 shares of $50 par preferred stock were outstanding. These were issued at a price of $75 per share. During the year, the following stock transactions occurred: 1. March 3: Lorain reacquired 100 shares of its own common stock at a cost of $24 per share. 2. April 27: It...
At the beginning of 2019, Hardin Company had 230,000 shares of $10 par common stock outstanding....
At the beginning of 2019, Hardin Company had 230,000 shares of $10 par common stock outstanding. During the year, it engaged in the following transactions related to its common stock: March 1 Issued 43,000 shares of stock at $20 per share. June 1 Issued a 10% stock dividend. July 1 Issued 8,000 shares of stock at $25 per share. Aug. 31 Issued a 2-for-1 stock split on outstanding shares, reducing the par value to $5 per share. Oct. 31 Reacquired...
Bridgeport Corporation showed the following information on its financial statements on December 31, 2021: Preferred Shares,...
Bridgeport Corporation showed the following information on its financial statements on December 31, 2021: Preferred Shares, no par value $6 cumulative, 460,000 shares authorized, 200.000 shares issued and outstanding Common Shares, no par value, unlimited shares authorized 450.000 shares issued and outstanding $42,000,000 $12.150.000 The following transactions occurred in the order given, during 2022: (a) April 15: Received subscriptions and down payments for 108,000 common shares at $36 per share. The subscription contracts call for 65% of the subscription price...
At the beginning of 20X1, the accounting records of Friends Corp. reported the following: $ 2. Preferred shares, 8.200 shares outstanding, no-par Common shares. 182.000 shares outstanding, no-par Contributed capital on common share retirement Retained earnings During the year, the company acquired and retired shares, while other shares were issued: 15 March 25.800 common shares bought and retired at $5 per share 16 March 4,900 preferred shares bought and retired at $30.30 per share 20 May 10.100 common shares bought...
On 1 January 20X1, Grey Corp. issued 378,000 no-par common shares at $4.30 per share. In 20X5, there were treasury stock transactions. On 15 January 20X5, the company purchased 4,500 of its own common shares at $3.30 per share to be held as treasury stock. On 1 March, 800 of the treasury shares were resold at $4.80. On 15 March, 500 shares were purchased for $170. On 31 March, 900 of the treasury shares were sold for $2.05. The remaining...
3. Saturn Enterprises Inc. reported the following shareholders' equity on December 31, 2017 Preferred shares, $1 annual cumulative dividend, no par value, redeemable at $105 Common shares, no par value, authorized -1,000,000 shares; issued and outstanding Contributed surplus- common shares authorized -100,000 shares; issued and outstanding-40,000 shares $4,000,000 500,000 shares 5,000,000 240,000 Retained earnings he following transactions occurred in 2018: Jan 1, Saturn redeemed 10,000 preferred shares at call price. June 1, Saturn retired 100,000 common shares for $15 per...
1. Cal Cookie Company (CCC) has 100 million shares of $1 par common stock authorized. The transactions below caused changes in CCC's outstanding shares. January 4, Repurchased and retired 2.20 million shares at 2018: $7.80 per share. 25, Repurchased and retired 3.20 million shares at 2018: $3.20 per share. June Prior to the transactions, CCC's shareholders' equity included the following: Common stock, 79.80 million shares at S 79.800.000 $1 par Paid-in capital - excess of par 255,360,000 Retained earnings 118,000,000...
On May 1, Page Corporation incorporated and authorized 181,000 preferred shares and an unlimited number of common shares. On May 2, Page issued 2,100 common shares for $16 per share. On June 15, it issued an additional 900 common shares for $18 per share. On November 1, Page issued 220 preferred shares for $27 per share. On December 15, it issued an additional 220 preferred shares for $35 per share. Record the share transactions. (Credit account titles are automatically indented...
Bridgeport Corporation showed the following information on its financial statements on December 31, 2021: Preferred Shares, no par value $6 cumulative, 460,000 shares authorized, 200.000 shares issued and outstanding Common Shares, no par value, unlimited shares authorized 450.000 shares issued and outstanding $42,000,000 $12.150.000 The following transactions occurred in the order given, during 2022: (a) April 15: Received subscriptions and down payments for 108,000 common shares at $36 per share. The subscription contracts call for 65% of the subscription price...
Most questions answered within 3 hours.
-
An explosion breaks a 20.0-kg object into three parts. The
object is initially moving at a...
asked 22 minutes ago -
Calculate the approximate number of residues of Rubisco, which
is involved in carbon fixation in plants,...
asked 1 hour ago -
Other decisions about scientific claims can have a much broader
impact.ENERGYarrow-10x10.png, environment, health, security - all...
asked 2 hours ago -
I need to write a research paper and work cited about this
topic: The United States...
asked 2 hours ago -
Hello! I was wondering if I could have some help?
If the vapor pressure of carvone...
asked 3 hours ago -
An economist wants to estimate the mean per capita income (in
thousands of dollars) for a...
asked 3 hours ago -
What would be the input/output characteristic of a circuit
obtained by putting two of your 2's-complementers...
asked 3 hours ago -
In Drosophila, the transition from the syncytial blastoderm
stage to the cellular blastoderm stage is a...
asked 3 hours ago -
Project management question:
Name 3 different types of resources (hint: humans are one
type)
asked 4 hours ago -
Consider the following reaction: C 2H 2( g) + 2H 2( g) C 2H 6(
g)...
asked 4 hours ago -
Consider a 1.0 L buffer containing 0.092 mol L-1 HCOOH and 0.100
mol L-1 HCOO-. What...
asked 4 hours ago -
Koch Realty has owned a vacant land with a FMV of
$775,000 and an adjusted basis...
asked 4 hours ago