Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Can anyone help with identifying where my answers were wrong Requirement # 1 : Cody Mountain Sports is looking to raise additional funding for their

Can anyone help with identifying where my answers were wrong
Requirement #1:
Cody Mountain Sports is looking to raise additional funding for their business to expand. They will be
acquire cash in addition to a new vehicle for their employees to use for travel to guided tours. Before t
following transactions, their balance of common stock on April 1st,2021 was $100,000 and included
100,000 shares of common stock issued and outstanding. There was no Paid-In Capital In Excess of
Par-Common and no preferred stock issued at this point. Cody Mountain Sports had the following
transactions in April 2021:
Apr. 1- Issued 40,000 shares of $1 par value common stock or a total of $80,000.
Apr. 9- Issued 10,000 shares of 6%, $2 par value preferred stock in exchanged for the truck with
market value of $40,000.
Apr. 15- Declared total cash dividends of $7,000.
April 19- Declared a 5% common stock dividend when the market value of the stock was $5.00? share
Apr 30- Paid the cash dividends.
Apr. 30- Distributed the stock dividend.
Journalize all transactions.
Calculate the balance in Retained Earnings as of April 30th,2021. Assume the
balance on April 1st,2021 was $13,500 and the net income was $6,700.
Prepare the stockholders' equity section of the balance sheet as of April 30th,2021.
image text in transcribed

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

Intermediate Accounting principles and analysis

Authors: Terry d. Warfield, jerry j. weygandt, Donald e. kieso

2nd Edition

471737933, 978-0471737933

More Books

Students also viewed these Accounting questions

Question

What KPIs would you consider using to evaluate employee growth?

Answered: 1 week ago

Question

What KPIs would you consider using to evaluate process efficiency?

Answered: 1 week ago