Wissam Company was established on January 1, 2017. The Company issued 10,000 shares of common stock and 2,000 shares of preferred stock on that date. The preferred shares are cumulative, $100 par, with a 6% dividend rate. 2018 was the first profitable year of the company in which it declared a total cash dividend of $34,000 on December 31, pavable on January 20, 2019.
Q: Blacklands, Inc. engages in the following common stock transactions in 2020 for its $1 par value…
A: A financial statement is one that is prepared by the company in a structured format that contains…
Q: Miami Heat Inc. began operations in January2017, and reported the following results for each of its…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: Adham Corporation was organized on January 1, 2019. During its first year, the corporation issued…
A: The dividend on preference shares is paid before any dividend is paid to common stockholders, and…
Q: [The following information applies to the questions displayed below.] York's outstanding stock…
A: Cash dividends: The amount of cash provided by a corporation out of its distributable profits to…
Q: Bridgeport Inc was formed on July 1, 2017. It was authorized to issue an unlimited number of common…
A:
Q: 100,000 Common stock, $10 par 500,000 Additional paid-in capital on preferred stock 20,000…
A: feb 2 dividend payable : preferred 4,000 dividend payable : common 40,000 to cash…
Q: Listed below are the transactions that affected the shareholders’ equity of Branch-Rickie…
A: Journal Entries for 2018: Date Account title and explanation Debit Credit Nov. 1, 2018 Dividend…
Q: Monona Company reported net income of $29,975 for 2019. During all of 2019, Monona had 1,000 shares…
A: Earnings per share refer to the amount that is earned by the stockholders on every share held by…
Q: On December 31, 2017, Crane, Inc. has 3800 shares of 6% $100 par value cumulative preferred stock…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: On January 1, 2016, Samuel Company had 21,000 shares of common stock outstanding and issued an…
A: Basic earning per share can be calculated by dividing net income after dividend by the weighted…
Q: Miami Heat Inc. began operations in January2017, and reported the following results for each of its…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: Community Company went into business on January 1, 2017 when it issued 100 shares of stock for a…
A: The statement of stockholder's equity is prepared to adjust the retained earnings and find ending…
Q: Specific Motor Inc., makes and sells commercial vehicles. By December 31, 2018, the company reported…
A: Financial StatementFinancial Statement is the combination of the three major reports on a business.…
Q: Wissam Company was established on January 1, 2017. The Company issued 10,000 shares of common stock…
A: This question is asking preference share dividend, Common stock dividend, and the journal entry at…
Q: Blue Spruce Limited reported profit of $436,010 for its November 30, 2021, year end. Cash dividends…
A: Profit available to common share holders= Net profit- Preference dividend = 436010-69500 = 366510
Q: Listed below are the transactions that affected the shareholders’ equity of Branch-Rickie…
A: A stock dividend is the payment of dividend which is done in the form of shares rather than cash.…
Q: On January 1, 2020 ,Herron Corporation purchased 5,000 shares of treasury stock. Other information…
A: Return on Common Stockholders' Equity will be calculated using following Formulae : Return on Common…
Q: Flatfish Limited reported the following items in shareholders' equity on December 31, 2020: Share…
A: Cumulative preference share holders enjoy the right to claim any unpaid dividend from the previous…
Q: During 2021, its first year of operations, McCollum Tool Works entered into the following…
A: Weighted average no. of outstanding common shares = 35,000,000 + 4,000,000*9/12…
Q: Specific Motor Inc., makes and sells commercial vehicles. By December 31, 2018, the company reported…
A: Effect of given transactions on balance sheet:
Q: On January 1, 2018, Manama Company has 8% 80,000 shares of $10 par value, Cumulative preferred stock…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: The following is a summary of all relevant transactions of Vicario Corporation since it was…
A: Step 1: Shareholders’ equity section of the balance sheet represents the total amount of…
Q: Red Hat Company began operations in January 2018 and reported the following results of operations…
A: Book value per common stock = (Total stockholder's equity-(liquidation value of preferred stock+…
Q: Sunland Inc. began operations in January 2018 and reported the following results for each of its 3…
A: Book value of common stock: It is the face value of common stock available to the shareholders.
Q: Tomba Corporation had 300,000 shares of common stock outstanding on January 1, 2017. On May 1, Tomba…
A:
Q: Miami Heat Inc. began operations in January2017, and reported the following results for each of its…
A: Cumulative preference shares have all of the perks of regular preference shares, including increased…
Q: Carlyon Company listed the following items in its December 31, 2018, financial statements:…
A: Prepare journal entries to record the preceding transactions:
Q: On January 1, 2019, Metco Inc. reported 296,000 shares of $6 par value common stock as being issued…
A: Treasury stock: The shares which were reacquired or bought back by the company, but not formally…
Q: The following is a summary of all relevant transactions of Vicario Corporation since it was…
A: Particulars Amount ($) Preferred Stock, $100 par value, 10000 authorized, 5000 issued and…
Q: Kingbird Corporation had 270,000 shares of common stock outstanding on January 1, 2017. On May 1,…
A:
Q: Jackson Inc. is authorized to issue an unlimited number of common shares and 15,000, $58 stated…
A: Issued shares are the authorized shares sold to and held by the shareholders of a company,…
Q: Milton Company’s charter authorizes 1,000,000 shares of common stock and 400,000 shares of preferred…
A: Stockholders’ equity: The claims of owners on a company’s resources, after the liabilities are paid…
Q: Specific Motor Inc., makes and sells commercial vehicles. By December 31, 2018, the company reported…
A: Required journal entries:
Q: Specific Motor Inc., makes and sells commercial vehicles. By December 31, 2018, the company reported…
A: Effect of given transactions on income statement: Results of the excel sheet is as follows:
Q: Specific Motor Inc., makes and sells commercial vehicles. By December 31, 2018, the company reported…
A: The income statement is a financial statement that represents the financial performance of the…
Q: Show
A:
Q: Wissam Company was established on January 1, 2017. The Company issued 10,000 shares of common stock…
A: Dividend means the amount given to shareholder of the company as profit distribution by company.…
Q: Morgan Sondgeroth Inc. began operations in January 2018 and reported the following results for each…
A: a. Compute the book value of the common stock at December 31, 2020.
Q: Mai Corporation was organized on January 1, 2016, Duringits first year, the corporation issued…
A: Preferred stock holder means those stock holder who will be getting dividend before the common…
Q: Wissam Company was established on January 1, 2017. The Company issued 10,000 shares of common stock…
A: Following is the answer to given question
Q: Belton, Inc. had the following transactions in 2018, its first year of operations: Issued 37,000…
A: The total paid-in capital will be calculated by multiplying the shares issued by the company by the…
Q: on january 1, 2020, abc corporation had 200,000 ordinary shares issued and outstanding. on april 1,…
A: Earnings per share are the earnings earned by each shareholder from the earnings or net income of…
Q: Pluto Company began operations on January 1, of 500,000 preference shares of P5 par value of which…
A: Contributed Capital is the amount a company receives on the account of issue of common and preferred…
Q: Abajo, Inc. went into business on January 1, 2017 when it issued 100 shares of stock for $10,000. No…
A: Return on Equity = Net IncomeShareholder's Equity it is the measure of financial performance and it…
Q: Denfort corp had 4,000 shares of P7.00, P100 par preferred stock and 50,000 shares of common stock…
A: Earnings per share (EPS) was used to measure profitability. Earnings per share: =(Net income -…
Q: At the beginning of the year, ABC Company had a retained earnings balance of $100,000. During the…
A: Retained earnings are that portion of net income that is not distributed to the shareholders by the…
Q: During its first year of operations, McCollum Tool Works entered into the following transactions…
A: Calculation of weighted average shares outstanding from March 31, 2016 to December 31 , 2016 Issued…
Q: On January 1, 2019, Metco Inc. reported 296,000 shares of $6 par value common stock as being issued…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: A company was organized on January 2, 2018. During the first year of operation, it issued 60,000…
A: Paid in Capital Common Stock will consist of preferred and common stock in total. It is also called…
Q: Yakun company had 4,000 shares of P7.00, P100 par preferred stock and 50,000 shares of common stock…
A: Earnings per share refer to the amount of earnings available to the common stockholders for each…
Step by step
Solved in 2 steps with 2 images
- Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 20 par common stock at 30, receiving cash. b. Issued 4,000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 375. The bonds are classified as a heldtomaturity long-term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0.60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 45, including commission. p. Recorded the payment of semiannual interest on the bonds issued in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method. q. Accrued interest for three months on the Dream Inc. bonds purchased in (l). r. Pinkberry Co. recorded total earnings of 240,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39.02 per share on December 31, 2016. The investment is adjusted to fair value, using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments had a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transactions for the year ended December 31, 2016, had been posted [including the transactions recorded in part (1) and all adjusting entries], the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step income statement for the year ended December 31, 2016, concluding with earnings per share. In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. (Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 2016. c. Prepare a balance sheet in report form as of December 31, 2016.Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.Ex8: A company was organized in January 2016 and has 15,000 shares of $12 par value, 20%, nonparticipating preferred stock outstanding and 50,000 shares of $7 par value common stock outstanding. It has declared and paid cash dividends each year as shown below. Calculate the total dividends distributed to each class of stockholder under each of the assumptions given. 2016 2017 $20,000 $30,000 $60,000 2018 Required: Complete the amount of total dividends allocated to each class of stock during 2016-2018. Cumulative: Year Preferred Common 2016 2017 2018. Non-Cumulative: Year Preferred Common 2016 2017 2018 To calculate the total dividends distributed to each class of stockholder under each assumption, we need to consider whether the preferred stock is cumulative or non-cumulative. Here are the calculations for both scenarios: 1. Cumulative Preferred Stock: Year 2016:
- a. Prepare journal entries b. Assuming that the profit for the year amounted to P450,000, prepare the shareholders' equity section of the statement of financial position as at Dec. 31, 2018. Gloria Detoya Corporation was authorized to issue 900,000 shares of 5%, $100 par value preference shares and 1.5 million shares of no- par, $5 stated value ordinary shares. The ff. transactions occurred during 2018: Feb. 2) 24,000 ordinary shares were sold to a group of investors at $24 per share. Feb 15) 5,500 preference share were issued to an individual in exchange for a parcel of land to be held for future development. The land has a fair market value of $795,000. The preference shares was not actively traded. Apr. 30) 2,500 ordinary shares were issued to a lawyer in exchange for services rendered in forming the corporation. The stock was currently trading at $31 a share. All parties agreed that this represented the value of the lawyer's services. Nov. 20) Additionally 7,000 ordinary…Miami Heat Inc. began operations in January2017, and reported the following results for each of its three years of operations. 2017 net loss-P 300,000;2018 net loss-P 30,000; 2019 Profit-P 3,950,000 At December 31, 2019, the company’s capital accounts were as follows: 5% Preference Shares, P 100 par, 100,000 shares authorized, 60,000shares issued and outstanding Ordinary Shares, P10 par, 1,000,000 shares authorized, 800,000 shares issued and outstanding Miami Heat Inc. has never paid a cash or share capital dividend and there has been no change in the capital accounts since its operations began. Assume the preference shares are cumulative and upon corporate liquidation, shares are preferred as to assets up to par. What is the book value per share of the preference shares on December 31, 2019?Current Attempt in Progress On January 1, 2017, Vancleave Corporation had 110,000 shares of its $.001 par value common stock outstanding. On November 27, when the market price of the stock was $8, the corporation declared a 10% stock dividend to be issued to stockholders of record on December 28, 2017. What was the impact of the 10% stock dividend on the balance of the retained earnings account? O $88,000 decrease O $11,000 decrease O $77,000 decrease O No effect
- Miami Heat Inc. began operations in January2017, and reported the following results for each of its three years of operations. 2017 net loss-P 300,000;2018 net loss-P 30,000; 2019 Profit-P 3,950,000 At December 31, 2019, the company’s capital accounts were as follows: 5% Preference Shares, P 100 par, 100,000 shares authorized, 60,000shares issued and outstanding Ordinary Shares, P10 par, 1,000,000 shares authorized, 800,000 shares issued and outstanding Miami Heat Inc. has never paid a cash or share capital dividend and there has been no change in the capital accounts since its operations began. Assume the preference shares are cumulative and upon corporate liquidation, shares are preferred as to assets up to par. What is the book value per share of the ordinary shares on December 31, 2019?Required to answer. Single choice. a. P13.78 b. P14.15 c. P14.52 d. P13.40Question 1 Bentley Inc. had the following balances in its equity accounts at December 31, 2014. Common shares, unlimited shares authorized, 55,000 shares issued, and outstanding. Retained earnings. $715,000 205,000 During 2015, the following equity transactions occurred: a. May 12:A 10% share dividend was declared when the market value was $13 per share, to be paid on November 23. b. November 23 : Date of distribution regarding the 10% share dividend. c. December 31: Closed the dividend account. d. December 31 : Closed the Income summary account, which has a credit balance of $90,000. a) Prepare journal entries to account for the transactions during 2015. Enter an appropriate description when entering the transactions in the journal. Dates must be entered in the format dd/mmm (ie. January 15 would be 15/Jan). Page GJ1 F Debit Credit General Journal Date Account/Explanation + - b) Prepare the company's statement of changes in equity for the year ended December 31, 2015. Please make sure…3. Miami Heat Inc. began operations in January2017, and reported the following results for each of its three years of operations. 2017 net loss-P 300,000;2018 net loss-P 30,000; 2019 Profit-P 3,950,000 At December 31, 2019, the company’s capital accounts were as follows: 5% Preference Shares, P 100 par, 100,000 shares authorized, 60,000shares issued and outstanding Ordinary Shares, P10 par, 1,000,000 shares authorized, 800,000 shares issued and outstanding Miami Heat Inc. has never paid a cash or share capital dividend and there has been no change in the capital accounts since its operations began. Assume the preference shares are cumulative and upon corporate liquidation, shares are preferred as to assets up to par. What is the book value per share of the preference shares on December 31, 2019?Required to answer. Single choice. a. P110 b. P105 c. P100 d. P115
- On January 1, 2022, Skysong, Inc. had the following stockholders' equity accounts. Common Stock ($12 par value, 78,800 shares issued and outstanding) Paid-in Capital in Excess of Par-Common Stock Retained Earnings During the year, the following transactions occurred. Jan. 15 Feb. 15 Apr. 15 May 15 July 1 . Dec. 1 Dec. 31 $945,600 195,000 521,000 Declared a $1 cash dividend per share to stockholders of record on January 31, payable February 15. Paid the dividend declared in January. Declared a 5% stock dividend to stockholders of record on April 30, distributable May 15. On April 15, the market price of the stock was $16 per share. Issued the shares for the stock dividend. Announced a 2-for-1 stock split. The market price per share prior to the announcement was $14. (The new par value is $6.) Declared a $0.80 per share cash dividend to stockholders of record on December 15, payable January 10, 2023. Determined that net income for the year was $250,000.On January 1, 2017, Ehrlich Corporation had the following stockholders’ equity accounts.Common Stock ($10 par value, 100,000 shares issued and outstanding) $1,000,000Paid-in Capital in Excess of Par—Common Stock 200,000Retained Earnings 540,000During the year, the following transactions occurred.Jan. 15 Declared a $1 cash dividend per share to stockholders of record on January 31, payable February 15.Feb. 15 Paid the dividend declared in January.Apr. 15 Declared a 15% stock dividend to stockholders of record on April 30, distributable May 15. On April 15, the market price of the stock was $15 per share.May 15 Issued the shares for the stock dividend.Dec. 1 Declared a $0.50 per share cash dividend to stockholders of record on December 15, payable January 10, 2018. 31 Determined that net income for the year was $250,000.Instructions(a) Journalize the…Haney Corporation issued 20,000 shares of common stock on January 1, 2018. The stock has par value of $1.00 per share and was sold at $30 per share. Which of the following is the correct journal entry to record this transaction? a. Debit Cash $600,000, credit Common stock $20,000, and credit Paid-in capital $580,000. b. Debit Cash $600,000 and credit Paid-in capital $600,000. c. Credit Cash $600,000, debit Common stock $20,000, and debit Paid-in capital $580,000. d. Debit Cash $600,000 and credit Common stock $600,000.