Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Current Attempt in Progress On January 1, 2021. Hum Enterprises Inc. had 74,000 common shares, recorded at $592,000. The company follows IFRS. During the year,
Current Attempt in Progress On January 1, 2021. Hum Enterprises Inc. had 74,000 common shares, recorded at $592,000. The company follows IFRS. During the year, the following transactions occurred: Apr. 1 June 15 Sep. 21 Nov. 1 Dec. 20 Issued 6,000 common shares at $10 per share. Declared a 5% stock dividend to shareholders of record on September 5, distributable on September 20. The shares were trading for $12 a share at this time. Announced a 1-for-2 reverse stock split. Shares were trading at $10 per share at the time. Issued 3,000 common shares at $22 per share. Repurchased 10,000 common shares for $20 per share. This was the first time Hum had repurchased its own shares. Record each of the transactions. Keep a running balance of the average per share amount of the common shares. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter 0 for the amounts. Round the average per share to three decimal places, e.g. Question 10 of 11 -/19 E Date Account Titles and Explanation Debit Credit Apr. 1 June 15 Sept. 20 Sept. 21 Nov. 1 Dec. 20 I Question Part Score -/121 Record the last transaction (Dec. 20) assuming the price to reacquire the shares was $15 per share. This is the first time Hum had repurchased its own shares. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round the average per share to three decimal places, e.g. 5.271 and final answers to O decimal places, e.g. 5,271.) Date Account Titles and Explanation Dec. 20 eTextbook and Media List of Accounts Debit Credit Question Part Score Record the last transaction (Dec. 20) assuming the price to reacquire the shares was $18 per share. Also assume that Hum has a credit balance of $2,500 in its Contributed Surplus-Reacquisition of Common Shares account. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round the average per share to three decimal places, e.g. 5.271 and final answers to O decimal places, eg. 5.271.) Date Account Titles and Explanation Dec. 20 Debit Credit eTextbook and Media List of Accounts 3
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started