Principles of Financial Accounting.
24th Edition
ISBN: 9781260158601
Author: Wild
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Question
Chapter 13, Problem 16QS
To determine
Indicate the effect of given transaction on
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
4. An owner of 2,500 shares of Simmons Company common stock receives a stock
dividend of 50 shares.
a. What is the effect of the stock dividend on the stockholder's proportionate
interest (equity) in the corporation?
b. How does the total equity of 2,550 shares compare with the total equity of 2,500
shares before the stock dividend?
5. a. Where should a declared but unpaid cash dividend be reported on the balance
sheet?
b. Where should a declared but unisshed stock dividend be reported on the balance
sheet?
Cash dividends are paid based on the number of shares Select one: to. authorized b. issued c. outstanding d. not issued (unissued)
(1) What is a dividend and what is the difference between cash dividends and stock dividends?
(2) What does it mean when shares of stock are outstanding?
(3) What type of account is the “Cash Dividends” account?
(4) On March 15, the board of directors of Beer, Inc. declared a $0.20 per-share dividend on its common stock to shareholders of record on March 31, payable on April 15. Beer has 40,000 shares of stock authorized, 25,000 shares issued, and 18,000 shares outstanding.
Please select TWO of the following dates and show what the journal entries should look like. Make sure you label which ones you have selected.
a. Date of Declaration:
b. Date of Record:
c. Date of Payment:
Chapter 13 Solutions
Principles of Financial Accounting.
Ch. 13 - A corporation issues 6,000 shares of 5 par value...Ch. 13 - A company reports net income of 75,000. Its...Ch. 13 - A company has 5,000 shares of 100 par preferred...Ch. 13 - A company paid cash dividends of 0.81 per share....Ch. 13 - Prob. 5MCQCh. 13 - What are organization expenses? Provide examples.Ch. 13 - How are organization expenses reported?Ch. 13 - Prob. 3DQCh. 13 - What is the difference between authorized shares...Ch. 13 - Prob. 5DQ
Ch. 13 - List the general rights of common stockholders.Ch. 13 - What is the difference between the market value...Ch. 13 - Identify and explain the importance of the three...Ch. 13 - Prob. 9DQCh. 13 - How does declaring a stock dividend affect the...Ch. 13 - What is the difference between a stock dividend...Ch. 13 - Prob. 12DQCh. 13 - Prob. 13DQCh. 13 - How is book value per share computed for a...Ch. 13 - Prob. 15DQCh. 13 - Prob. 16DQCh. 13 - Prob. 17DQCh. 13 - Prob. 1QSCh. 13 - Issuance of common stock Prepare the journal entry...Ch. 13 - Issuance of par and stated value common stock...Ch. 13 - Issuance of no-par common stock Prepare the...Ch. 13 - Prob. 5QSCh. 13 - Accounting for cash dividends Prepare journal...Ch. 13 - Prob. 7QSCh. 13 - Accounting for small stock dividend The...Ch. 13 - Prob. 9QSCh. 13 - Accounting for dividends For each of the following...Ch. 13 - Preferred stock issuance and dividends 1. Prepare...Ch. 13 - Dividend allocation between classes of...Ch. 13 - Prob. 13QSCh. 13 - Prob. 14QSCh. 13 - Purchase and sale of treasury stock On May 3,...Ch. 13 - Prob. 16QSCh. 13 - Prob. 17QSCh. 13 - For each situation, identify whether it is treated...Ch. 13 - Prob. 19QSCh. 13 - Basic earnings per share Murray Company reports...Ch. 13 - Epic Company earned net income of 900,000 this...Ch. 13 - Price-earnings ratio Compute Topp Companys...Ch. 13 - Prob. 23QSCh. 13 - Book value per common share The stockholders...Ch. 13 - Prob. 1ECh. 13 - Prob. 2ECh. 13 - Accounting for par, stated, and no-par stock...Ch. 13 - Recording stock issuances Prepare journal entries...Ch. 13 - Stock issuance for noncash assets Sudoku Company...Ch. 13 - On June 30, Sharper Corporations stockholders...Ch. 13 - Prob. 7ECh. 13 - The stockholders equity section of TVX Company on...Ch. 13 - Prob. 9ECh. 13 - Yorks outstanding stock consists of 80,000 shares...Ch. 13 - Prob. 11ECh. 13 - Prob. 12ECh. 13 - In Draco Corporations first year of business, the...Ch. 13 - Prob. 14ECh. 13 - Prob. 15ECh. 13 - Prob. 16ECh. 13 - Prob. 17ECh. 13 - Price-earnings ratio computation and...Ch. 13 - Prob. 19ECh. 13 - The equity section of Cyril Corporations balance...Ch. 13 - Prob. 21ECh. 13 - Stockholders equity transactions and analysis...Ch. 13 - Prob. 2APCh. 13 - Prob. 3APCh. 13 - The equity sections for Atticus Group at the...Ch. 13 - Prob. 5APCh. 13 - Stockholders equity transactions and analysis...Ch. 13 - Balthus Corp. reports the following components of...Ch. 13 - Prob. 3BPCh. 13 - Prob. 4BPCh. 13 - Prob. 5BPCh. 13 - Santana Rey created Business Solutions on October...Ch. 13 - Prob. 1AACh. 13 - Use the following comparative figures for Apple...Ch. 13 - Prob. 3AACh. 13 - Prob. 1BTNCh. 13 - Access the March 1, 2017, fi ling of the 2016...Ch. 13 - Prob. 5BTN
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- The total amount of cash and other assets received by a corporation from the stockholders in exchange for the shares is ________. A. always equal to par value B. referred to as retained earnings C. always below its stated value D. referred to as paid-in capitalarrow_forwardIndicate whether each of the following transactions increases (+), decreases (−), or has no effect (NE) on total assets, total liabilities, and total stockholders’ equity. The first transaction is completed as an example. Transaction Total Assets Total Liabilities Total Stockholders’ Equity Issue common stock Issue preferred stockPurchase treasury stockResell treasury stockDeclare cash dividendPay cash dividend100% stock dividend2-for-1 stock split + NE +arrow_forwardIndicate whether each of the following transactions would increase, decrease or have no effect on total assets, total liabilities, total shareholders'equity, and the number of shares: Shareholders" Number of Assets Liabilities Transaction Equity Shares Declared cash dividend. Increase Paid cash dividend declared in part (a). Decrease No Effect Declared stock dividend. Distributed stock dividend declared in part (c). Split stock 2-for-1.arrow_forward
- The total amount of cash and other assets received by a corporation from the stockholders in exchange for the shares is __________Required to answer. Single choice. a. referred to as paid-in capital b. always below its stated value c. referred to as retained earnings d. always equal to par valuearrow_forwardMatch the following stockholders' equity concepts to the appropriate term (a-h). Question 12 options: Cash distribution of a company’s earnings to stockholders The date when dividends are actually distributed to stockholders Shares of common stock that were issued and then reacquired by a company Account used when shares are issued for an amount greater than par value The day of the event that creates a liability to company Equity account reflecting shares “owed” to stockholders Owners of this class of stock are entitled to receive dividends first The date that is used to determine the owners of stock who will receive the current dividend 1. cash dividend 2. date of record 3. Stock Dividends Distributable 4. date of declaration 5. treasury stock 6. preferred stock 7. date of payment 8. Paid-In Capital in Excess of Pararrow_forwardThe total amount of cash and other assets received by a corporation from the stockholders inexchange for the shares is ________.A. always equal to par valueB. referred to as retained earningsC. always below its stated valueD. referred to as paid-in capitalarrow_forward
- Select whether stockholders' equity would increase, decrease, or have no effect as a result of each separate transaction listed below. List 1. A large stock dividend is issued 2. No par common stock is issued. 3. Cash dividends are paid to shareholders. 4.A 5-for-1 stock split occurs Equityarrow_forwardMatch the following terms with their definitions (not every letter is used) 1. Outstanding stock 2. Issued stock Authorized stock 4. Paid-in Capital Retained earnings a. The earnings not paid out in dividends. b. Shareholders can lose no more than the amount they invested in the company. c. The corporation's own stock that is reacquired. d. The amount invested by stockholders. e. Total number of shares available to sell. f. Shares can be returned to the corporation at a predetermined price. g. Shares held by investors. h. Shares receive priority for future dividends if dividends are not paid in a given year. i. Shares actually sold.arrow_forwardMatch each of the following terms with the appropriate definition. A document that gives a designated agent the right to vote a stockholder's shares of stock. The date specified by corporation directors for identifying stockholders to receive dividends. The date on which the directors vote to pay a cash dividend. The ratio of a company's current market value per share to its net income per share. Occurs when a corporation calls in its stock and replaces cach 1. Dividend Yield share with more than one 2. Reverse Stock Split new share; decreases both the market value per share and the par or stated value per share. 3. Convertible Preferred Stock 4. Price-Earnings Ratio Net income less preferred dividends divided by weighted-average 5. Date of Record common shares 6. Proxy outstanding. 7. Stock Split Stock that gives its holders the option to exchange their shares for common shares at a specified rate. 8. Basic Earnings per Share 9. Cumulative Preferred Stock Stock that has a right to be…arrow_forward
- Identify whether stockholders’ equity would increase (I), decrease (D), or have no effect (NE) as a resultof each separate transaction A stock dividend equal to 30% of the previously outstanding shares is declared.arrow_forwardWhen a corporation has outstanding both common and preferred stock Select one: a. Earnings per share is computed without regard to the amount of dividends declared on common stock. b. Basic and diluted earnings per share are reported only if the preferred stock is cumulative c. Earnings per share is reported for each type of stock outstanding d. Earnings per share is computed without regard to the amount of the annual preferred dividends.arrow_forward2. If two years’ preferred dividends are in arrears at the current date and the board of directors declares cash dividends of $11,500, compute the total amount paid to (a) preferred shareholders and (b) common shareholders.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Financial Accounting: The Impact on Decision Make...AccountingISBN:9781305654174Author:Gary A. Porter, Curtis L. NortonPublisher:Cengage Learning
Principles of Accounting Volume 1AccountingISBN:9781947172685Author:OpenStaxPublisher:OpenStax College
Financial Accounting: The Impact on Decision Make...
Accounting
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax College
Stockholders Equity: How to Calculate?; Author: Accounting University;https://www.youtube.com/watch?v=2jZk1T5GIlw;License: Standard Youtube License