Ch 18 In-Class Problem

Journal Entry

1. Record transfer of net loss to retained earnings. (2024)
2. Record transfer of net income to retained earnings. (2025)
3. Record repurchase of shares for retirement. (2025)
4. Record declaration of cash dividend. (2025)
5. Record payment of cash dividend. (2025)
6. Record transfer of net income to retained earnings. (2026)
7. Record issue of stock dividend. (2026)
8. Record declaration of cash dividend. (2026)
9. Record payment of cash dividend. (2026)

Problem 18-4 (Static) Statement of retained earnings; financial statement effects [LO18-5,18-7] Comparative statements of retained earnings for Renn-Dever Corporation were as follows: At December 31, 2023, common shares consisted of the following: Required: Infer from the reports the events and transactions that affected Renn-Dever Corporation's retained earnings during 2024, 2025, and 2026. Prepare the journal entries that reflect those events and transactions. (Hint: In lieu of revenues and expenses, use an account titled "Income summary" to close net income or net loss.) Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field