Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I found the answer but I really want to know the calculations. A) A corporation reported the following during 2009: Net income $175,250; a sale

I found the answer but I really want to know the calculations. A) A corporation reported the following during 2009: Net income $175,250; a sale of 10,000 shares of $5 par value common stock for $8.75 per share; a purchase of treasury stock costing $24,750; a sale of treasury stock costing $15,500 for $14,695; a declaration and distribution of a $39,000 cash dividend; a declaration and distribution of a stock dividend of 5,000 shares of $5 par value common stock. What was the increase in owners' equity during 2009? B) A company's retained earnings on December 31, 2008 was $2,190,000 and its owners' equity was $8,760,000. During 2009 the company reported the following: net income $225,000; a sale of treasury stock costing $75,000 for $79,750; a treasury stock purchase costing $125,700; a cash dividend declaration of $73,200; a 10,000 share common stock ($10 par value) dividend was declared and distributed when the market value was $12.75 per share. What is the owners' equity balance on December 31, 2009

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental Accounting Principles Volume II

Authors: Kermit Larson, Tilly Jensen, Heidi Dieckmann

16th Canadian edition

1259261433, 978-1260305838

More Books

Students also viewed these Accounting questions