Instructions

Thompson Payroll Service began the year with $1,500,000$ authorized and $880,000$ issued and outstanding $$8$ par common shares. During the year Thompson entered into the following transactions:

a$.$ Declared a $$0\mathrm{.}10$ per$-$share cash dividend on March $24.$

b$.$ Paid the $$0\mathrm{.}10$ per$-$share dividend on April $6.$

c$.$ Repurchased $17,000$ common shares for the treasury at a cost of $$11$ each on May $9.$

d$.$ Sold $3,000$ unissued common shares for $$16$ per share on June $19.$

e$.$ Declared a $$0\mathrm{.}30$ per$-$share cash dividend on August $1.$

f$.$ Paid the $$0\mathrm{.}30$ per$-$share dividend on September $14.$

g$.$ Declared and paid a $10\%$ stock dividend on October $25$ when the market price of the common stock was $$16$ per share.

h$.$ Declared a $$0\mathrm{.}50$ per$-$share cash dividend on November $20.$

i$.$ Paid the $$0\mathrm{.}50$ per$-$share dividend on December $20.$

Required:

Prepare journal entries for each of these transactions.

What is the total dollar amount of dividends $($cash and stock$)$ for the year?

Conceptual Connection: Determine the effect on total assets and total stockholders' equity of these dividend transactions.