The board of durectors declared a $2 per share cash dividend on common stock and the corporation had 5,000 shares authorized and 4,000 shares outstanding. The journal entry for the dividend declaration would be:
Q: a) During the year, the corporation completed a number of transactions affecting the stockholders'…
A: Journal entry: It is a book of prime entry or a book of original entry in which transactions are…
Q: The League Corporation is authorized to issue 100,000 shares of Ordinary Share Capital with a par…
A: Journal entries are the modern accounting method in which all business transaction recorded in a…
Q: Diamondback Welding & Fabrication Corporation sells and services pipe welding equip- ment in…
A: Prepare journal entries:
Q: Crane Corporation has 12.50 million shares of common stock issued and outstanding. On June 1, the…
A: Entries to record dividend, if the dividend represents a distribution of earnings.
Q: A company's board of directors votes to declare a cash dividend of $1.55 per share of common stock.…
A: The common shares of a company that are owned by its shareholders, who include retail investors,…
Q: The charter of a corporation provides for the issuance of 95,106 shares of common stock. Assume that…
A: The 3,554 shares reacquired are called treasury shares. Treasury shares are not entitled to…
Q: The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume…
A: Given: Charter state issuance of common stock =100000Shares originnaly issued =40000Shares…
Q: Greenwood Corporation has 80,000 shares of common stock outstanding. It declares a $1 per share cash…
A: Cash dividends are cash distributions of accumulated earnings by a corporation to its stockholders.…
Q: A corporation has 4,000 shares of 10% noncumulative non participating preference shares outstanding,…
A: Preferred shares are nonparticipating means they will receive only pre fixed dividend. Noncumulative…
Q: Bernard Corporation has the following shares outstanding: 8,000 shares of $50 par value, six percent…
A: Dividend on common stock = no. of shares x Dividend per share = 50,000 shares x $2.20 per share =…
Q: Before preparing financial statements for the current year, the chief accountant for Crane Ltd.…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: Sweet Company’s outstanding stock consists of 2,000 shares of cumulative 4% preferred stock with a…
A: Dividend is the return on the investment which a shareholder expects. Dividend on preferred…
Q: The board of directors of KALEIDOSCOPE Corporation has declared cash dividends of ₱30,000 to its…
A: The preference shareholders get the dividend before any other dividend to other shareholders. The…
Q: An owner of 2,500 shares of Simmons Company common stock receives a stock dividend of 50 shares.a.…
A: Stock Dividends When the dividends are declared and paid to the common stockholders in the form of…
Q: Zelda Corporation had outstanding 5,000 shares of $40 par, 8 percent cumulative preferred stock and…
A: Common stock: Common stock is the stock that is directly to the investors at a very minimal cost…
Q: The Sisters Corporation has 1000 shares of its $50 par, 6% cumulative preferred stock, 1,000 shares…
A: Cumulative preference shares: These are the preference shares those have an option to receive the…
Q: The charter of a corporation provides for the issuance of 105,588 shares of common stock. Assume…
A: Dividend distribution is a method of distributing profit among the stockholder of the organization.…
Q: Maxwell had the following transactions pertaining to its ordinary shares during the first year of…
A: Here in this case, we are required to make journal entry for issue if share. Company issue shares to…
Q: OSE Corporation's articles of incorporation provides for the issuance of 100,000 ordinary shares.…
A: The dividend is the distribution of the portion of profit earned by the company. The dividend is…
Q: The League Corporation is authorized to issue 100,000 shares of Ordinary Share Capital with a par…
A: Journal Entry :- The purpose of preparing the journal entry to segregate the transaction which are…
Q: The board of directors of Clear Communications has declared a dividend of $2,500,000. The company…
A: Total Dividend = $2,500,000 Preferred Dividend = 240,000 shares * $2.10 Preferred Dividend =…
Q: The charter of a corporation provides for the issuance of 113,026 shares of common stock. Assume…
A: Dividends are paid on the Shares outstanding, not on shares issued. Shares outstanding = 37,231 -…
Q: The charter of a corporation provides for the issuance of 104,571 shares of common stock. Assume…
A: Cash dividends: The amount of cash provided by a corporation out of its distributable profits to its…
Q: Weaver Corporation had the following stock issued and outstanding at January 1, Year 1: 66,000…
A: Definition: Dividends: This is the amount of cash distributed to stockholders by a company out its…
Q: If a corporation issues 6,000 shares of $5 par value common stock for $89,000, the journal entry…
A: Total par value of Common Stock = No. of Common Stock issued x par value per share = 6000 x $5 =…
Q: On February 22, Stewart Corporation acquired 12,000 shares of the 400,000 outstanding shares of…
A: a.
Q: Torey Corporation was organized on April 1, with an authorization of 25,000 shares of six percent,…
A: Introduction: Paid in capital in excess of PAR: Shares issued more than PAR value. Th excess of PAR…
Q: The charter of a corporation provides for the issuance of 104,020 shares of common stock. Assume…
A: The charter of a corporation provides maximum numbers of shares that can be issued by the…
Q: Aris company declares a cash dividend of $1.00 per share on its 12.000 common shares outstanding.…
A: Given that Cash dividend = $ 1.00 per share Common shares outstanding = 12000
Q: Before preparing financial statements for the current year, the chief accountant for Crane Ltd.…
A: when transaction is recorded wrongly in account, it needs to be corrected when it is found. 1.…
Q: A corporation has 4,000 shares of 10% noncumulative non participating preference shares outstanding,…
A: The total dividends would be first apportioned to preference shareholders and any remaining amount…
Q: Huxley Company has 119,526 shares of common stock authorized, 158,963 issued, and 79,891 shares of…
A: No. of shares issued and outstanding = No. of shares issued - No. of treasury stock = 158963-79891 =…
Q: Lotoya Davis Corporation has 10 million shares of common stock issued and outstanding. On June 1,…
A: Step 1 The journal entry is recorded for the declaration of dividend under which retained earnings…
Q: The charter of Zion Associates provides for the issuance of 100,000 shares of common stock. Assume…
A: The charter shows the authorized number of shares which in this case is 100000 shares. Subsequently…
Q: Liberward, Inc., sold and issued 1,000 shares for $15 per share. The book value of the shares was…
A: Shares are a mean of raising capital from the shareholders. Shares can be ordinary shares or…
Q: The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume…
A: Formula: Shares outstanding = Shares issued - shares reacquired. Shares reacquired gets deducted…
Q: Nutritious Pet Food Company's board of directors declares a cashd 2,400 shares are held as treasury…
A: Formula: Common shares outstanding = Shares issued - Treasury shares
Q: The charter of a corporation provides for the issuance of 138,000 shares of common stock. Assume…
A: Common stock: These are the shares issued by a company to an outsider. These shares entitle a share…
Q: A corporation sold 9,500 shares of its $10 par value common stock at a cash price of $11 per share.…
A: >Issuance of common stock is one of the Financing activity from which the corporation gets Cash…
Q: What is the number of shares outstanding?
A: Share Outstanding: = Issued shares- reacquired shares. Even if charter provides for 136,000 shares…
Q: A company declared cash dividends of $0.20 per share. If there are 500,000 shares of common stock…
A: Dividend is the return that the company provides to the stockholders as a consideration for…
Q: A company's board of directors votes to declare a cash dividend of $1.70 per share of common stock.…
A: Note: Dividend is issued on shares issued and outstanding.
Q: The charter of a corporation provides for the issuance of 114,000 shares of common stock. Assume…
A: Equity share capital refers capital which is raised by a corporation by offering shares.
Q: The charter of a corporation provides for the issuance of 114,964 shares of common stock. Assume…
A: Cash dividends: The amount of cash provided by a corporation out of its distributable profits to its…
Q: The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume…
A: Dividend is the amount of return paid to shareholders of a company.
Q: A corporation sold 13,500 shares of its $10 par value common stock at a cash price of $14 per share.…
A: When shares are sold by a corporation in excess of par, cash is received and an increase in cash is…
Q: The Board of Directors of ABC Corporation declared a dividend on March 6, 2XX1, to shareholders of…
A: According to the given question, we are required to compute the cash dividends distributed to the…
Q: Darren Company had 600,000 ordinary shares outstanding on January 1, issued 120,000 shares on May 1,…
A: Weighted average number of shares outstanding is the sum of all outstanding shares multiplied by the…
Q: A company's board of directors votes to declare a cash dividend of $1.15 per share of common stock.…
A: Cash dividends:The amount of cash provided by a corporation out of its distributable profits to its…
The board of durectors declared a $2 per share cash dividend on common stock and the corporation had 5,000 shares authorized and 4,000 shares outstanding. The
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
- A corporation issued 100 shares of $100 par value preferred stock for $150 per share. The resulting journal entry would include which of the following? A. a credit to common stock B. a credit to cash C. a debit to paid-in capital in excess of preferred stock D. a debit to cashThe following selected accounts appear in the ledger of EJ Construction Inc. at the beginning of the current fiscal year: During the year, the corporation completed a number of transactions affecting the stockholders equity. They are summarized as follows: a. Issued 500,000 shares of common stock at 8, receiving cash. b. Issued 10,000 shares of preferred 1% stock at 60. c. Purchased 50,000 shares of treasury common for 7 per share. d. Sold 20,000 shares of treasury common for 9 per share. e. Sold 5,000 shares of treasury common for 6 per share. f. Declared cash dividends of 0.50 per share on preferred stock and 0.08 per share on common stock. g. Paid the cash dividends. Instructions Journalize the entries to record the transactions. Identify each entry by letter.The charter of a corporation provides for the issuance of 104,020 shares of common stock. Assume that 35,959 shares were originally issued and 3,317 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2 per share dividend is declared?
- The charter of a corporation provides for the issuance of 104,571 shares of common stock. Assume that 44,035 shares were originally issued and 4,245 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared?The charter of a corporation provides for the issuance of 105,588 shares of common stock. Assume that 41,103 shares were originally issued and $4,863 were subsequentially reacquired. What is the amount of cash dividends to be paid if a $2 per share dividend is declared?The charter of a corporation provides for the issuance of 10,000 shares of common stock. Assume that 60,000 shares were originally issued and 10,000 were subsequently required. What is the amount of cash dividends to be paid if a $2/ per share dividend is declared?
- A company's board of directors votes to declare a cash dividend of $1.15 per share of common stock. The company has 23,000 shares authorized, 18,000 issued, and 17,500 shares outstanding. The total amount of the cash dividend is:The charter of a corporation provides for the issuance of 108,244 shares of common stock. Assume that 44,779 shares were originally issued and 4,084 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared? a. $4,084 b. $44,779 c. $108,244 d. $81,390The charter of a corporation provides for the issuance of 95,106 shares of common stock. Assume that 36,768 shares were originally issued and 3,554 were subsequently reacquired. What is the amount of cash dividends to be paid if a $3 per share dividend is declared? a. $285,318 b. $99,642 c. $10,662 d. $110,304
- 1.A company's board of directors votes to declare a cash dividend of $1.00 per share on its 12,000 common shares outstanding. The journal entry to record the declaration of the cash dividend is: The journal entry to record the declaration of the cash dividend is: 2.A company's board of directors votes to declare a cash dividend of $1.00 per share on its 12,000 common shares outstanding. The journal entry to record the declaration of the cash dividend is: Multiple Choice Debit Dividend Expense $12,000; credit Common Dividend Payable $12,000. Debit Retained Earnings $12,000; credit Common Dividend Payable $12,000. Debit Common Dividend Payable $12,000; credit Retained Earnings $12,000. Debit Common Dividend Payable $12,000; credit Cash $12,000. Debit Dividend Expense $12,000; credit Cash $12,000.The charter of a corporation provides for the issuance of 94,546 shares of common stock. Assume that 41,432 shares were originally issued and 3,112 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2 per share dividend is declared? Oa. $3,112 Ob. $41,432 Oc. $76,640 Od. $94,546The charter of a corporation provides for the issuance of 120,000 shares of common stock. Assume that 44,000 shares were originally issued and 4,000 were subsequently reacquired. What is the amount of cash dividends to be paid if a $1-per-share dividend is declared? Oa. $120.000 Ob, $40.000 Oc. $44,000 Od. $4.000