Question
1)39 $1000 bonds with a carrying value of $48600 are converted into 4000 shares of $5 par value common stock. The common stock had a
1)39 $1000 bonds with a carrying value of $48600 are converted into 4000 shares of $5 par value common stock. The common stock had a market value of $9 per share on the date of conversion. The entry to record the conversion is
Bonds Payable | 48600 | |
Common Stock | 20000 | |
Paid-in Capital in Excess of Par | 28600 |
Bonds Payable | 48600 | |
Common Stock | 36000 | |
Paid-in Capital in Excess of Par | 12600 |
Bonds Payable | 39000 | |
Premium on Bonds Payable | 9600 | |
Common Stock | 20000 | |
Paid-in Capital in Excess of Par | 28600 |
Bonds Payable | 39000 | |
Premium on Bonds Payable | 9600 | |
Common Stock | 39000 | |
Paid-in Capital in Excess of Par | 9600 |
2)Coronado Corporation makes a short-term investment in 160 shares of Wildhorse Companys common stock. The stock is purchased for $53 a share. The entry for the purchase is
Stock Investments | 8480 | |
Cash | 8480 |
Stock Investments | 7987 | |
Cash | 7987 |
Stock Investments | 8000 | |
Cash | 8000 |
Debt Investments | 8480 | |
Cash | 8480 |
3)
Coronado, Inc. has 3500 shares of 4%, $50 par value, cumulative preferred stock and 70000 shares of $1 par value common stock outstanding at December 31, 2019. The board of directors declared and paid a $2700 dividend in 2019. In 2020, $18900 of dividends are declared and paid. What are the dividends received by the preferred and common shareholders in 2020?
Preferred | Common |
$9450 | $9450 |
$11300 | $7600 |
$7600 | $11300 |
$7000 | $11900 |
4)
Marigold, Inc. has 11200 shares of 5%, $100 par value, noncumulative preferred stock and 224000 shares of $1 par value common stock outstanding at December 31, 2020. There were no dividends declared in 2019. The board of directors declares and pays a $64200 dividend in 2020. What is the amount of dividends received by the common stockholders in 2020?
$0
$8200
$64200
$56000
(you dont need to show work just answer them)
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