2 At December 31, 2009, True reported 2,812.300 shares isued with a par value of $4.00 per share and 17,800 share held in treasury. On January 27,2010, the company announced that its board of directors approved payment of a regular quarterly cash dividend of S.85 per share, payable on February 25, 2010 to common shareholders of record on February 5, 2010. The board also approved the payment of 99% stock dividend distributable on February 25, 2010, to common shareholders of record on February 5, 2010. The share price was $22 when the stock dividend was issued. Assume no treasury shares were acquired or sold after June 30. Prepare the journal entry to record true 's stock dividend.
2 At December 31, 2009, True reported 2,812.300 shares isued with a par value of $4.00 per share and 17,800 share held in treasury. On January 27,2010, the company announced that its board of directors approved payment of a regular quarterly cash dividend of S.85 per share, payable on February 25, 2010 to common shareholders of record on February 5, 2010. The board also approved the payment of 99% stock dividend distributable on February 25, 2010, to common shareholders of record on February 5, 2010. The share price was $22 when the stock dividend was issued. Assume no treasury shares were acquired or sold after June 30. Prepare the journal entry to record true 's stock dividend.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter16: Retained Earnings And Earnings Per Share
Section: Chapter Questions
Problem 3P: On January 1, 2019, Kittson Company had a retained earnings balance of 218,600. It is subject to a...
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