Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

asap plzz HIT The stockholders' equity accounts of Indigo Corporation on January 1, 2022 were as follows. Preferred Stock (7% $100 par noncumulative, 10.000 shares

asap plzz
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
HIT The stockholders' equity accounts of Indigo Corporation on January 1, 2022 were as follows. Preferred Stock (7% $100 par noncumulative, 10.000 shares authorized) $600.000 Common Stock (54 stated value, 600,000 shares authorized) 2.000.000 30,000 960.000 Paid-in Capital in Excess of Par Value-Preferred Stock Paldin Capital in Excess of Stated Value-Common Stock Retained Earnings Treasury Stock (10.000 common shares) 1.376.000 80,000 During 2022, the corporation had the following transactions and events pertaining to its stockholders equity Feb 1 Issued 10,000 shares of common stock for $60.000 Mar. 20 Purchased 2,000 additional shares of common treasury stock at $7 pershare Declared a 7% cash dividend on preferred stock payable November 1, Oct. 1 Nov 1 Dec 1 Pald the dividend declared on October 1. Declared a $0.50 per share cash dividend to common stockholders of record on December 15 payable December 31, 2 Determined that net income for the year was $550.000. Paid the dividend declared on December 1 76'T Cloudy 400E Dec 31 2 2 = Part 1 Journalize the transactions. (Include entries to close net income and dividends to Retained Earnings.) (Record entries in the order displayed in the problem statement Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts. Round answers to decimal places, e.g. 5,275.) Date Account Titles and Explanation Debit Credit Feb. 1 Cash 4.72/12 in E 249000 12/1 Treasury Stock 80000 1/1 Bal. 14000 3/20 o 94000 12/31 Bal. Prepare the stockholders' equity section of the balance sheet at December 31, 2022 INDIGO CORPORATION Partial Balance Sheet > Part 4 - Your answer is partially correct Calculate the payout ratio, earnings per share and return on common stockholders' equity. (Note:Use the common shares outstanding on January 1 and December 31 to determine the average shares outstanding) Round answers to 2 decimal procesos 17.50%) Payout ratio 52.91 Earnings per share $ 103 Return on common stockholders equity 11.52

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

Recommended Textbook for

Sound Investing, Chapter 25 - Change In Auditors

Authors: Kate Mooney

3rd Edition

0071719474, 9780071719476

More Books

Students also viewed these Accounting questions

Question

Are there any changes you would recommend in the selection process?

Answered: 1 week ago