FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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- Entries for selected corporate transactionsSelected transactions completed by ATV Discount Corporation duringthe current fiscal year are as attached: Instructions Journalize the transactions.arrow_forwardThe stockholders' equity section of Larkspur Inc. at the beginning of the current year appears below. Common stock, $10 par value, authorized 954,000 shares, 307,000 shares issued and outstanding Paid-in capital in excess of par-common stock Retained earnings During the current year, the following transactions occurred. 1. 2. 3. 4. 5. 6. (a) $3,070,000 553,000 614,000 The company issued to the stockholders 92,000 rights. Ten rights are needed to buy one share of stock at $35. The rights were void after 30 days. The market price of the stock at this time was $37 per share. The company sold to the public a $194,000, 10% bond issue at 103. The company also issued with each $100 bond one detachable stock purchase warrant, which provided for the purchase of common stock at $33 per share. Shortly after issuance, similar bonds without warrants were selling at 96 and the warrants at $7. All but 4,600 of the rights issued in (1) were exercised in 30 days. At the end of the year, 80% of the…arrow_forwardKohler Corporation reports the following components of stockholders’ equity at December 31 of the prior year. Common stock—$15 par value, 100,000 shares authorized, 50,000 shares issued and outstanding $ 750,000 Paid-in capital in excess of par value, common stock 70,000 Retained earnings 430,000 Total stockholders' equity $ 1,250,000 During the current year, the following transactions affected its stockholders’ equity accounts. January 2 Purchased 4,000 shares of its own stock at $20 cash per share. January 5 Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record. February 28 Paid the dividend declared on January 5. July 6 Sold 1,500 of its treasury shares at $24 cash per share. August 22 Sold 2,500 of its treasury shares at $16 cash per share. September 5 Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. October 28 Paid the dividend…arrow_forward
- Which assets depreciate?arrow_forwardKinkaid Company was incorporated at the beginning of this year and had a number of transactions. The following journal entries impacted its stockholders’ equity during its first year of operations. Transaction General Journal Debit Credit a. Cash 290,000 Common Stock, $25 Par Value 245,000 Paid-In Capital in Excess of Par Value, Common Stock 45,000 b. Organization Expenses 180,000 Common Stock, $25 Par Value 128,000 Paid-In Capital in Excess of Par Value, Common Stock 52,000 c. Cash 43,500 Accounts Receivable 16,000 Building 81,600 Notes Payable 59,800 Common Stock, $25 Par Value 51,300 Paid-In Capital in Excess of Par Value, Common Stock 30,000 d. Cash 125,000 Common Stock, $25 Par Value 80,000 Paid-In Capital in Excess of Par Value, Common Stock 45,000 Required: 2. How many shares of common stock are outstanding at year-end? 3. What is the total paid-in capital at year-end?arrow_forwardKohler Corporation reports the following components of stockholders’ equity at December 31 of the prior year. Common stock—$15 par value, 100,000 shares authorized, 40,000 shares issued and outstanding $ 600,000 Paid-in capital in excess of par value, common stock 70,000 Retained earnings 400,000 Total stockholders' equity $ 1,070,000 During the current year, the following transactions affected its stockholders’ equity accounts. January 2 Purchased 5,000 shares of its own stock at $20 cash per share. January 5 Directors declared a $4 per share cash dividend payable on February 28 to the February 5 stockholders of record. February 28 Paid the dividend declared on January 5. July 6 Sold 2,500 of its treasury shares at $24 cash per share. August 22 Sold 2,500 of its treasury shares at $16 cash per share. September 5 Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record. October 28 Paid the dividend…arrow_forward
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- Using the following information for the year ended 30 June, prepare the Retained Earnings Account for Kramer Ltd. Retained earnings as at 1 July $450,000 Transfer from Dividend Equalisation Reserve $200,000 Operating Profit (before income tax expenses $270,000) $900,000 Create a provision for dividend of 15 cents per share. There are 7,500,000 shares issuearrow_forwardNeed help correctingarrow_forwardVishalarrow_forward
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