Entries for Selected Corporate Transactions

Nav$-$Go Enterprises Inc. produces aeronautical navigation equipment. Nav$-$Go Enterprises' stockholders$$ equity accounts, with balances on January $1,20$Y$1,$ are as follows:

Common Stock, $$10$ stated value $(400,000$ shares authorized, $260,000$ shares issued$)$ $$2,600,000$

Paid$-$In Capital in Excess of Stated Value$-$Common Stock $500,000$

Retained Earnings $5,900,000$

Treasury Stock $(26,000$ shares, at cost$)364,000$

The following selected transactions occurred during the year:

Jan. $15.$ Paid cash dividends of $$0\mathrm{.}13$ per share on the common stock. The dividend had been properly recorded when declared on December $1$ of the preceding fiscal year for $$30,420.$

Mar. $15.$ Sold all of the treasury stock for $$17$ per share.

Apr. $13.$ Issued $50,000$ shares of common stock for $$900,000.$

June $14.$ Declared a $5\%$ stock dividend on common stock, to be capitalized at the market price of the stock, which is $$20$ per share.

July $16.$ Issued shares of stock for the stock dividend declared on June $14.$

Oct. $30.$ Purchased $16,000$ shares of treasury stock for $$19$ per share.

Dec. $30.$ Declared a $$0\mathrm{.}16-$per$-$share dividend on common stock.

$31.$ Closed the two dividends accounts to Retained Earnings.

Required:

$1.$ The January $1$ balances have been entered in T accounts for the stockholders' equity accounts. Record the above transactions in the T accounts and provide the December $31$ balance where appropriate. If required, round to one decimal place.

$2.$ Journalize the entries to record the transactions. For a compound transaction, if an amount box does not require an entry, leave it blank.

Jan. $15.$ Paid cash dividends of $$0\mathrm{.}13$ per share on the common stock. The dividend had been properly re

Mar. $15.$ Sold all of the treasury stock for $$17$ per share.

Apr. $13.$ Issued $50,000$ shares of common stock for $$900,000$

June $14.$ Declared a $5\%$ on common stock, to be capitalized at the market price of the stock, which is $$20$ per share.

July $16.$ Issued stock for stock dividend declared on June $14.$

Oct. $30.$ Purchased $16,000$ shares of treasury stock for $$19$ per share.

Dec. $30.$ Declared a $$0\mathrm{.}16-$per$-$share dividend on common stock.

Dec. $31.$ Closed the two dividends accounts to Retained Earnings.

$3.$ Prepare a statement of stockholders$$ equity for the year ended December $31,20$Y$1.$ Assume that net income was $$6,136,000$ for the year ended December $31,20$Y$1.$ For those boxes in which you must enter subtracted or negative numbers use a minus sign. If an amount box does not require an entry, leave it blank or enter $0.$

$4.$ Prepare the $$Stockholders$$ Equity$$ section of the December $31,20$Y$1,$ balance sheet. For those boxes in which you must enter subtracted or negative numbers use a minus sign. Paid$-$In Capital in Excess of Stated Value$-$Common Stock

Paid$-$In Capital from Sale of Treasury Stock

Stock Dividends Distributable Stock Dividends

Cash Dividends

Journalize the entries to record the transactions. For a compound transaction, if an amount box does not require an entry, leave it blank.

Jan. $15.$ Paid cash dividends of $$0\mathrm{.}13$ per share on the common stock. The dividend had been properly recorded when declared on December $1$ of the preceding fiscal year for $$30,420.$

Mar. $15.$ Sold all of the treasury stock for $$17$ per share.

Apr. $13.$ Issued $50,000$ shares of common stock for $$900,000$

June $14.$ Declared a $5\%$ on common stock, to be capitalized at the market price of the stock, which is $$20$ per share. July $16.$ Issued stock for stock dividend declared on June $14.$

Oct. $30.$ Purchased $16,000$ shares of treasury stock for $$19$ per share.

Dec. $30.$ Declared a $$0\mathrm{.}16-$per$-$share dividend on common stock.

Dec. $31.$ Closed the two dividends accounts to Retained Earnings. require an entry, leave it blank or enter $"0".$

Prepare the "Stockholders' Equity" section of the December $31,20Y1,$ balance sheet. For those boxes in which you must enter subtracted or negative numbers use a minus sign.