Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

12 Required information [The following information applies to the questions displayed below) Context Corporation reports the following components of stockholders' equity on December 31, 2011

image text in transcribed
image text in transcribed
image text in transcribed
12 Required information [The following information applies to the questions displayed below) Context Corporation reports the following components of stockholders' equity on December 31, 2011 Part 1 of 3 1 10 points Common stock-$15 par value, 100,000 shares authorized, 40,000 shares Issued and outstanding Pald-in capital in excess of par value, common stock Retained earnings Total stockholders' equity $ 600,000 80.000 400,000 eBook $1,080,000 References In year 2012, the following transactions affected its stockholders' equity accounts Jan 1Purchased 5,000 shares of its own stock at $25 cash per share Jan. 5 Directors declared a $4 per share cash dividend payable on Feb 28 to the Feb. 5 stockholders of record Feb 28 Paid the dividend declared on January 5 July 6 Sold 1.875 of its treasury shares at $29 cash per share Aug 22 Sold 3.125 of its treasury shares at $22 cash per share. Sept. 5 Directors declared a $4 per share cash dividend payable on October 28 to the Cantamar 25 Uhrrard of Next > Hope FeWUIR 1 Sarved 12 Part 1 of 3 In year 2012, the following transactions affected its stockholders' equity accounts Jan. 1 Purchased 5,000 shares of its own stock at $25 cash per share. Jan. 5 Directors declared a $4 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record. Feb 28 Paid the dividend declared on January 5. July 6 Sold 1,875 of its treasury shares at $29 cash per share. Aug 22 Sold 3.125 of its treasury shares at $22 cash per share Sept. 5 Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record. Oct.28 Paid the dividend declared on September 5, Dec. 31 Closed the $388,000 credit balance (from net income) in the income Summary account to Retained Earnings. 10 points eBook Print References Required: 1. Prepare journal entries to record each of these transactions for 2012 (Omit the "S" sign in your response.) Credit Date Jan Debit 25000 General Journal Treasury stock common Cash 1 125000 Jan 5 Retained earnings Mc Graw

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions