Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Current Attempt in Progress The following data were taken from the balance sheet accounts of Bonita Corporation on December 31, 2019. Current assets $530,000
Current Attempt in Progress The following data were taken from the balance sheet accounts of Bonita Corporation on December 31, 2019. Current assets $530,000 Debt investments (trading) 601,000 Common stock (par value $10) 483,000 Paid-in capital in excess of par 144,000 Retained earnings 822,000 Prepare the required journal entries for the following unrelated items. (Credit account titles are automatically indented when 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.) (a) A 6% stock dividend is (1) declared and (2) distributed at a time when the market price per share is $46. (b) The par value of the common stock is reduced to $2 with a 5-for-1 stock split. (c) A dividend is declared January 5, 2020, and paid January 25, 2020, in bonds held as an investment. The bonds have a book value of $100,000 and a fair value of $143,000. No. Date Account Titles and Explanation Debit Cred (a) (1) (a)(2) (b) (c) Jan. 5, 2020 Jan. 25, 2020 (To record change in value of bonds) (To record the declaration of dividends)
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