Exercise #3

On January 1, Steff Corporation had 80,000 shares of no-par common stock issued. 5,000 shares are held as treasury stock. The stock has a stated value of $5 per share. During the year, the following transactions occurred.

April 19 Issued 12,000 additional shares of common stock for $18 per share.

June 15 Declared a cash dividend of $1 per share to stockholders of record on June 30.

July 2 Paid the $1 cash dividend.

Dec 3 Purchased 7,000 additional shares of common stock for $17 per share.

Dec 15 Declared a cash dividend on outstanding shares of $1.20 per share to stockholder

Instructions, show computations

(a)

Prepare the entries, if any, on each of the three dividend dates.