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(a) journalize transactions, events, and closing entries for net income and dividends (b) enter the begining balances in the accounts and post to the stock
(a) journalize transactions, events, and closing entries for net income and dividends
(b) enter the begining balances in the accounts and post to the stock holders equity accounts (note: open additional stockholders equity accounts as needed)
(c) prepare a retained earnings statement for the year
(d) prepare a stockholders equity section at dec 31, 2017
pully At Jnuary 1, 2017, follows. are Preferred Stock, 696, $50 par Common Stock, $5 par Paid-in Capital in Excess of Par-Preferred Stock Paid-in Capital in Excess of Par-Common Stock Retained Earnings $600,000 800,000 200,000 300,000 800,000 There were no dividends in arrears on preferred stock. During 2017, the compan following transactions and events. July 1 Declared a $0.60 cash dividend per share on common stock. Aug. 1 Discovered $25,000 understatement of depreciation expense in 2016. (Ignore income taxes.) 1 Paid the cash dividend declared on July 1. Sept. Dec. 1 Declared a 15% stock dividend on common stock when the market price of the stock was $18 per share. 15 Declared a 6% cash dividend on preferred stock payable January 15, 2018. 31 Determined that net income for the year was $355,000. 31 Recognized a $200,000 restriction of retained earnings for plant expansionStep by Step Solution
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