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Entries for Selected Corporate Transactions Nav-Go Enterprises Inc. produces aeronautical navigation equipment. Nav-Go Enterprises' stockholders equity accounts, with balances on January 1, 20Y1, are as

Entries for Selected Corporate Transactions

Nav-Go Enterprises Inc. produces aeronautical navigation equipment. Nav-Go Enterprises' stockholders equity accounts, with balances on January 1, 20Y1, are as follows:

Common Stock, $10 stated value (550,000 shares authorized, 380,000 shares issued) $3,800,000
Paid-In Capital in Excess of Stated Value-Common Stock 700,000
Retained Earnings 8,630,000
Treasury Stock (38,000 shares, at cost) 532,000

The following selected transactions occurred during the year:

Jan. 15. Paid cash dividends of $0.12 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $41,040.
Mar. 15. Sold all of the treasury stock for $17 per share.
Apr. 13. Issued 70,000 shares of common stock for $1,260,000.
June 14. Declared a 4% 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 24,000 shares of treasury stock for $19 per share.
Dec. 30. Declared a $0.15-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.

Common Stock
Jan. 1 Bal. 3,800,000
Apr. 13 fill in the blank 2
July 16 fill in the blank 4
Dec. 31 Bal. fill in the blank 5

Paid-In Capital in Excess of Stated Value-Common Stock
Jan. 1 Bal. 700,000
Apr. 13 fill in the blank 7
June 14 fill in the blank 9
Dec. 31 Bal. fill in the blank 10

Retained Earnings
Dec. 31 fill in the blank 12 Jan. 1 Bal. 8,630,000
Dec. 31 fill in the blank 14
Dec. 31 Bal. fill in the blank 15

Treasury Stock
Jan. 1 Bal. 532,000 Mar. 15 fill in the blank 17
Oct. 30 fill in the blank 19
Dec. 31 Bal. fill in the blank 20

Paid-In Capital from Sale of Treasury Stock
Mar. 15 fill in the blank 22

Stock Dividends Distributable
July 16 fill in the blank 24 June 14 fill in the blank 26

Stock Dividends
June 14 fill in the blank 28 Dec. 31 fill in the blank 30

Cash Dividends
Dec. 30 fill in the blank 32 Dec. 31 fill in the blank 34

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 $0.12 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $41,040.

Date Account Debit Credit
Jan. 15 Cash Dividends Payable fill in the blank 36 fill in the blank 37
Cash fill in the blank 39 fill in the blank 40

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

Date Account Debit Credit
Mar. 15 Cash fill in the blank 42 fill in the blank 43
Treasury Stock fill in the blank 45 fill in the blank 46
Paid-In Capital from Sale of Treasury Stock fill in the blank 48 fill in the blank 49

Apr. 13. Issued 70,000 shares of common stock for $1,260,000

Date Account Debit Credit
Apr. 13 Cash fill in the blank 51 fill in the blank 52
Common Stock fill in the blank 54 fill in the blank 55
Paid-In Capital in Excess of Stated Value-Common Stock fill in the blank 57 fill in the blank 58

June 14. Declared a 4% on common stock, to be capitalized at the market price of the stock, which is $20 per share.

Date Account Debit Credit
June 14 Stock Dividends fill in the blank 60 fill in the blank 61
Stock Dividends Distributable fill in the blank 63 fill in the blank 64
Paid-In Capital in Excess of Stated Value-Common Stock fill in the blank 66 fill in the blank 67

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

Date Account Debit Credit
July 16 Stock Dividends Distributable fill in the blank 69 fill in the blank 70
Common Stock fill in the blank 72 fill in the blank 73

Oct. 30. Purchased 24,000 shares of treasury stock for $19 per share.

Date Account Debit Credit
Oct. 30 Treasury Stock fill in the blank 75 fill in the blank 76
Cash fill in the blank 78 fill in the blank 79

Dec. 30. Declared a $0.15-per-share dividend on common stock.

Date Account Debit Credit
Dec. 30 Cash Dividends fill in the blank 81 fill in the blank 82
Cash Dividends Payable fill in the blank 84 fill in the blank 85

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

Date Account Debit Credit
Dec. 31 Retained Earnings fill in the blank 87 fill in the blank 88
Stock Dividends fill in the blank 90 fill in the blank 91
Cash Dividends fill in the blank 93 fill in the blank 94

3. Prepare a statement of stockholders equity for the year ended December 31, 20Y1. Assume that net income was $8,975,000 for the year ended December 31, 20Y1. 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.

Nav-Go Enterprises Inc. Statement of Stockholders Equity For the Year Ended December 31, 20Y1
Common Stock Paid-In Capital in Excess of Stated Value Paid-In Capital from Sale of Treasury Stock Retained Earnings Treasury Stock Total
Balances, January 1 $fill in the blank 96 $fill in the blank 97 $fill in the blank 98 $fill in the blank 99 $fill in the blank 100 $fill in the blank 101
Issued Common Stock fill in the blank 103 fill in the blank 104 fill in the blank 105
Net Income fill in the blank 107 fill in the blank 108
Cash Dividends fill in the blank 110 fill in the blank 111
Stock Dividends fill in the blank 113 fill in the blank 114 fill in the blank 115 fill in the blank 116
Sale of Treasury Stock fill in the blank 118 fill in the blank 119 fill in the blank 120
Purchase of Treasury Stock fill in the blank 122 fill in the blank 123
Balances, December 31 $fill in the blank 125 $fill in the blank 126 $fill in the blank 127 $fill in the blank 128 $fill in the blank 129 $fill in the blank 130

4. 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.

Nav-Go Enterprises Inc. Balance Sheet December 31, 20Y1
Stockholders' Equity
Paid-In Capital:
Common Stock, $10 Stated Value (550,000 Shares Authorized, 468,000 Shares Issued) fill in the blank 132
Excess of Issue Price Over Stated Value fill in the blank 134
From Sale of Treasury Stock fill in the blank 136
Total Paid-In Capital fill in the blank 137
Retained Earnings fill in the blank 139
Total fill in the blank 140
Treasury Stock (24,000 Shares, at Cost) fill in the blank 142
Total Stockholders' Equity fill in the blank 143

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