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I need help with the balance sheet. Each balance image goes with 1-5 at the top. The required is additional information, just the balances are
I need help with the balance sheet. Each balance image goes with 1-5 at the top. The "required" is additional information, just the balances are what I need. I put the actual balances on here because each line needs to be filled. Each description on the top of each balance goes with the balance on the bottom.
Various Dividends Stamboul Company lists the following condensed balance sheet as of the beginning of 2013 Current assets Ihvestment in Ostend bonds Fixed assets (net) S 60,000 9,000 200,000 69 Current liabilities Common stock, no par Retained eamings 150,000 89,000 69 Stamboul is considering the impact of various types of dividends on this balance sheet. Each dividend would be declared and paid in 2013. These include 1. Cash dividend of $1.00 per share on the 10,000 shares outstanding 2. Stock dividend of 5% on the 10,000 shares outstanding when the market price is $17 per share 3. Property dividend consisting of the $9,000 (book value) investment in Ostend bonds being held to maturity. This investment has a current market value of $13,000. (For Requirement 2, assume any gain or loss is to be reflected in retained earnings. Disregard income taxes.) 4. Scrip dividend of $0.80 per share on the 10,000 shares outstanding. The scrip earns interest at a 12% annual rate and is to be declared on January 30 and paid on December 30, 2013. (For Requirement 2, assume any interest expense is to be reflected in retained earnings. Disregard income taxes.) 5. Cash dividend consisting of a $0.70 per share normal dividend and a $0.30 per share liquidating dividend Required For each preceding independent dividend 1. Prepare the appropriate journal entries for the declaration and payment of the dividend 2. Prepare a condensed balance sheet after the dividend has been paidStep by Step Solution
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