Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Check my [The following information applies to the questions displayed below) Refer to the following transactions a. Sold 4700 shares of S48 par value 8%

image text in transcribed
image text in transcribed
Check my [The following information applies to the questions displayed below) Refer to the following transactions a. Sold 4700 shares of S48 par value 8% preferred stock at par. b. Declared the annual dividend on the preferred stock c. Purchased 500 shares of preferred stock for the treasury at 553 per share d. Issued 2,000 shares of S1 par value common stock in exchange for land valued at $109,000 o. Sold 216 shares of the treasury stock purchased in transaction for $58 per share f. Split the common stock 2-for-1 Required: Show the effect (if any) of each of the above transactions on each financial statement category by selecting a plus (+) or minus (-1 tign and the amount in the appropriate column. Do not show items that affect net income in the retained earnings column Other Assets Liabilities Retained Earnings Paldin Capital 4225.600 Treasury Stock Net Income 18.048 18.048 Transaction Cash 1.225.600 b c 26.500 d o -12,528 26.500 +109,000 109,000 The balance sheet caption for common stock is the following Common stock without par value, 4,700,000 shares authorized, 340,000 shares issued, and 650,000 shares outstanding 52,100,000 Required: a. Calculate the average price at which the shares were issued b. If these shares had been assigned a stated value of $1 each, show how the caption here would be different c. If a cash dividend of $0.16 per share were declared, calculate the total amount of cash that would be paid to stockholder d. What accounts for the difference between issued shares and outstanding shares? Required A Required B Required Required D If these shares had been assigned a stated value of $1 each, show how the caption here would be different. Common stock at stated value of $1 per sharo: 4.700.000 shares authorized. 840,000 issued and 650,000 shares outstanding Additional paid in capital Total paid in capital $

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_2

Step: 3

blur-text-image_3

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

Audit And Accounting Guide State And Local Governments

Authors: AICPA

1st Edition

1945498587, 978-1945498589

More Books

Students also viewed these Accounting questions