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Context Corporation reports the following components of stockholders' equity on December 31, 2011. Common stock-$15 par value, 100,000 shares authorized, 55,000 shares issued and outstanding

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Context Corporation reports the following components of stockholders' equity on December 31, 2011. Common stock-$15 par value, 100,000 shares authorized, 55,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings $ 825,000 80,000 430,000 Total stockholders' equity $1,335,000 In year 2012, the following transactions affected its stockholders' equity accounts. Jan. 1 Purchased 5,000 shares of its own stock at $25 cash per share. Jan. 5 Directors declared a $4 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record. Feb.28 Paid the dividend declared on January 5. July 6 Sold 1,875 of its treasury shares at $29 cash per share. Aug.22 Sold 3,125 of its treasury shares at $22 cash per share. Sept. 5 Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record. Oct.28 Paid the dividend declared on September 5. Dec. 31 Closed the $408,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Required: 1. Prepare journal entries to record each of these transactions for 2012. (Omit the "S" sign in your response.) Credit Date Jan. 1 General Journal Treasury stock, common Cash Debit 125000 4 125000 Jan. 5 Retained earnings Common dividend paya Feb.28 Common dividend payabl Cash July 6 Cash Treasury stock, comma Contributed capital, tre Aug.22 Cash Contributed capital, treas Retained earnings Treasury stock, comma Sept. 5 Retained earnings Common dividend paya Oct.28 Common dividend payabl. Cash Dec. 31 Income summary Retained earnings Context Corporation reports the following components of stockholders' equity on December 31, 2011 Common stock-$15 par value, 100,000 shares authorized, 55,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings $ 825,000 80,000 430,000 Total stockholders' equity $1,335,000 In year 2012, the following transactions affected its stockholders' equity accounts. Jan. 1 Purchased 5,000 shares of its own stock at $25 cash per share. Jan. 5 Directors declared a $4 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record. Feb.28 Paid the dividend declared on January 5. July 6 Sold 1,875 of its treasury shares at $29 cash per share. Aug.22 Sold 3,125 of its treasury shares at $22 cash per share. Sept. 5 Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record. Oct 28 Paid the dividend declared on September 5. Dec. 31 Closed the $408,000 credit balance (from net income) in the Income Summary account to Retained Earnings. 2. Prepare a statement of retained earnings for the year ended December 31, 2012. (Amounts to be deducted should be indicated by a minus sign. Omit the "$" sign in your response.) CONTEXT CORPORATION Statement of Retained Earnings For Year Ended December 31, 2012 Retained earnings, Dec. 31, 2011 $ (Click to select) (Click to select) (Click to select) Retained earnings, Dec 31, 2012 (Click to select) Less: Treasury stock reissuances Add: Cash dividends declared Add: Treasury stock reissuances Less: Cash dividends declared Common dividend payable $ on December 31, 2011. Common stock-$15 par value, 100,000 shares authorized, 55.000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings $ 825,000 80,000 430,000 Total stockholders' equity $1,335,000 In year 2012, the following transactions affected its stockholders' equity accounts. Jan. 1 Purchased 5,000 shares of its own stock at $25 cash per share. Jan. 5 Directors declared a $4 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record. Feb.28 Paid the dividend declared on January 5. July 6 Sold 1,875 of its treasury shares at $29 cash per share. Aug 22 Sold 3,125 of its treasury shares at $22 cash per share, Sept. 5 Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record. Oct.28 Paid the dividend declared on September 5. Dec. 31 Closed the $408,000 credit balance (from net income) in the Income Summary account to Retained Earnings. 3. Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2012. (Omit the "$" sign in your response.) CONTEXT CORPORATION Stockholders' Equity Section of the Balance Sheet December 31, 2012 (Click to select) (Click to select) Total contributed capital (Click to select) Total stockholders' equity (Click to select) Retained earnings Income summary Common dividend payable Treasury stock reissuances Common stock

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