Homework Answers
Dear Student,
Please find below solution. I have studied accounts as per Indian and European study material but rules are same. I hope you would be able to understand below:
Part (a): Dividend is calculated on Par Value / Face Value of Common Stock. It is not calculated at Market Price of Common Stock. So dividend is 3% of $8 which comes to $ 0.24 per common stock.
Total Dividend = No. of common stocks x dividend per common stock = 36,000 x 0.24 = $ 8,640
Part (b): Dividend will declared first and paid later. So I have passed two entries. One is for provision and one is for payment. It will not come in Income Statement as dividend is not an expense while is an appropriation of profit. It is distributed from Net Profits or retained earnings.
| Balance Shet | Income Statement | |||||||||||||||
| Assets | = | Liabilities | + | Shareholders's Equity | Revenue | - | Expense | = | Net Income | |||||||
| S. No. | Cash | = | Proposed Dividend | + | Common Stock | + | PIC in Excess | + | Retained Earnings | - | = | Statement of Cash Flows | ||||
| 1 | 0 | = | 8,640.00 | + | + | + | -8,640.00 | - | = | 0 | ||||||
| 2 | -8,640.00 | = | -8,640.00 | + | + | + | 0 | - | = | -8,640.00 | ||||||
Add Answer to:
Exercise 11-15A (Algo) Accounting for stock dividends LO 11-7 Beacon Corporation issued a 3 percent stock...
Beacon Corporation issued a 4 percent stock dividend on 26,500 shares of its $7 par common...
Beacon Corporation issued a 4 percent stock dividend on 26,500 shares of its $7 par common stock. At the time of the dividend, the market value of the stock was $26 per share. Required a. Compute the amount of the stock dividend. b. Show the effects of the stock dividend on the financial statements using a horizontal statements model Complete this question by entering your answers in the tabs below. Required A Required B Compute the amount of the stock...
Saved Help Save & Exit Sub Exercise 8-15 Accounting for stock dividends LO 8-7 Check my...
Saved Help Save & Exit Sub Exercise 8-15 Accounting for stock dividends LO 8-7 Check my wo Beacon Corporation issued a 7 percent stock dividend on 39,000 shares of its $8 par common stock. At the time of the dividend, the market value of the stock was $30 per share. Required: a. Compute the amount of the stock dividend. b. Show the effects of the stock dividend on the financial statements using a horizontal statements model like the following one....
Beacon Corporation issued a 5 percent stock dividend on 27,500 shares of its $8 par common...
Beacon Corporation issued a 5 percent stock dividend on 27,500 shares of its $8 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required o. Compute the amount of the stock dividend. b. Show the effects of the stock dividend on the financial statements using a horizontal statements model Complete this question by entering your answers in the tabs below. Reguld A Required B Compute the amount of the stock...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required a. Compute the amount of the stock dividend. Stock dividend b. Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required a. Compute the amount of the stock dividend. Stock dividend b. Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing...
On May 1 Year 1. Love Corporation declared a $48,500 cash dividend to be paid on...
On May 1 Year 1. Love Corporation declared a $48,500 cash dividend to be paid on May 31 to shareholders of record on May 15. Required Record the events occurring on May 1, May 15, and May 31 in a horizontal statements model. (In the Statement of Cash Flows column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). Not all cells in the "Statement of Cash Flows" column may require an input...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required c. Prepare the journal entry to record the stock dividend. (If no entry is required for a transaction/event, select journal entry required" in the first account field.) Answer is not complete. No Event General Journal Credit Debit 18,300 Common stock 10,980 Weaver Corporation had the following...
Exercise 11-7A (Algo) Cash dividends for preferred and common shareholders LO 11-3 Weaver Corporation had the...
Exercise 11-7A (Algo) Cash dividends for preferred and common shareholders LO 11-3 Weaver Corporation had the following stock issued and outstanding at January 1, Year 1. 1.90,000 shares of $12 par common stock. 2. 9,000 shares of $80 par, 4 percent, noncumulative preferred stock. On June 10, Weaver Corporation declared the annual cash dividend on its 9,000 shares of preferred stock and a $1 per share dividend for the common shareholders. The dividends will be paid on July 1 to...
Newly formed S&J Iron Corporation has 183,000 shares of $3 par common stock authorized. On March...
Newly formed S&J Iron Corporation has 183,000 shares of $3 par common stock authorized. On March 1, Year 1, S&J Iron issued 9,000 shares of the stock for $11 per share. On May 2, the company issued an additional 18,000 shares for $19 per share. S&J Iron was not affected by other events during Year 1 Required a. Record the transactions in a horizontal statements model. (In the Statement of Cash Flows column, indicate whether the item is an operating...
Newly formed S&J Iron Corporation has 63,000 shares of $6 par common stock authorized. On March...
Newly formed S&J Iron Corporation has 63,000 shares of $6 par common stock authorized. On March 1, 2018, S8 Iron issued 9,000 shares of the stock for $12 per share. On May 2, the company issued an additional 17,500 shares for $19 per share. S&J Iron was not affected by other events during 2018 Required: a. Record the transactions in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity...
Beacon Corporation issued a 4 percent stock dividend on 26,500 shares of its $7 par common stock. At the time of the dividend, the market value of the stock was $26 per share. Required a. Compute the amount of the stock dividend. b. Show the effects of the stock dividend on the financial statements using a horizontal statements model Complete this question by entering your answers in the tabs below. Required A Required B Compute the amount of the stock...
Saved Help Save & Exit Sub Exercise 8-15 Accounting for stock dividends LO 8-7 Check my wo Beacon Corporation issued a 7 percent stock dividend on 39,000 shares of its $8 par common stock. At the time of the dividend, the market value of the stock was $30 per share. Required: a. Compute the amount of the stock dividend. b. Show the effects of the stock dividend on the financial statements using a horizontal statements model like the following one....
Beacon Corporation issued a 5 percent stock dividend on 27,500 shares of its $8 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required o. Compute the amount of the stock dividend. b. Show the effects of the stock dividend on the financial statements using a horizontal statements model Complete this question by entering your answers in the tabs below. Reguld A Required B Compute the amount of the stock...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required a. Compute the amount of the stock dividend. Stock dividend b. Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required a. Compute the amount of the stock dividend. Stock dividend b. Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing...
On May 1 Year 1. Love Corporation declared a $48,500 cash dividend to be paid on May 31 to shareholders of record on May 15. Required Record the events occurring on May 1, May 15, and May 31 in a horizontal statements model. (In the Statement of Cash Flows column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). Not all cells in the "Statement of Cash Flows" column may require an input...
Beacon Corporation issued a 4 percent stock dividend on 30,500 shares of its $9 par common stock. At the time of the dividend, the market value of the stock was $24 per share. Required c. Prepare the journal entry to record the stock dividend. (If no entry is required for a transaction/event, select journal entry required" in the first account field.) Answer is not complete. No Event General Journal Credit Debit 18,300 Common stock 10,980 Weaver Corporation had the following...
Exercise 11-7A (Algo) Cash dividends for preferred and common shareholders LO 11-3 Weaver Corporation had the following stock issued and outstanding at January 1, Year 1. 1.90,000 shares of $12 par common stock. 2. 9,000 shares of $80 par, 4 percent, noncumulative preferred stock. On June 10, Weaver Corporation declared the annual cash dividend on its 9,000 shares of preferred stock and a $1 per share dividend for the common shareholders. The dividends will be paid on July 1 to...
Newly formed S&J Iron Corporation has 183,000 shares of $3 par common stock authorized. On March 1, Year 1, S&J Iron issued 9,000 shares of the stock for $11 per share. On May 2, the company issued an additional 18,000 shares for $19 per share. S&J Iron was not affected by other events during Year 1 Required a. Record the transactions in a horizontal statements model. (In the Statement of Cash Flows column, indicate whether the item is an operating...
Newly formed S&J Iron Corporation has 63,000 shares of $6 par common stock authorized. On March 1, 2018, S8 Iron issued 9,000 shares of the stock for $12 per share. On May 2, the company issued an additional 17,500 shares for $19 per share. S&J Iron was not affected by other events during 2018 Required: a. Record the transactions in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity...
Most questions answered within 3 hours.
-
the
total pressure for a mixture of N2O4 and NO2 is 2.20 atm. If Kp=
7.10...
asked 14 minutes ago -
23. Which molecule has only covalent bonds? A. CO2 B. Al2O3 C.
Mg3N2
24. The octet...
asked 12 minutes ago -
Delaware Corp. prepared a master budget that included $22,385
for direct materials, $28,600 for direct labor,...
asked 11 minutes ago -
For pesticide HCB (hexachlorobenzene), its logarithmic partition
coefficient log Kow is 5.6. What would be the...
asked 15 minutes ago -
A chemist requires 0.422 mil Na2CO3 for a reaction. How many
grams does this correspond to?
asked 18 minutes ago -
If the vapor pressure of carvone is approximately 9.4 torr at 99
°C, approximately how much...
asked 37 minutes ago -
A juice bottling company is carrying out a test at 10%
significance that the mean population...
asked 49 minutes ago -
What is the reflectivity (in percent) needed to keep water at a
temperature near its freezing...
asked 52 minutes ago -
Suppose that the average surface temperature of Earth is 300K.
Assume this is uniform over its...
asked 52 minutes ago -
Draw the condensed structural formula for alkenes and alkynes or
the line-angle structural formula for cycloalkenes...
asked 52 minutes ago -
M. Laing has suggested a new arrangement of the periodic table
(J.Chem.Ed.1989, 66,
746). Answer the following...
asked 1 hour ago -
Café Michigan's manager, Gary Stark, suspects that demand for
mocha latte coffees depends on the price...
asked 1 hour ago