Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

I've got 90% of A1 completed, but need help with A2 thru C, please. Thank you! 4- Homework.jpg + Add to Edit & Create Share

image text in transcribed

image text in transcribed

image text in transcribed

I've got 90% of A1 completed, but need help with A2 thru C, please. Thank you!

4- Homework.jpg + Add to Edit & Create Share DeZurik Corp. had the following stockholders' equity section in its June 30, 2020, balance sheet (in thousands, except share and per share amounts): June 30 (in thousands) 2020 2019 $ 6,840 Paid-in capital: $5.30 Preferred stock, $ 2 par value, cumulative, 200, eee shares authorized, 90,000 shares issued and outstanding Common stock, $5 par value, 4, eee, eee shares authorized, 3,360,800 shares issued, 3,000,000 shares outstanding Additional paid-in capital on common stock Retained earnings Less: Treasury common stock, at cost, ? shares Total stockholders' equity 26, 208 $ 70,962 $ 63,843 The transactions affecting the stockholders' equity accounts of DeZurik Corp. for the year ended June 30, 2020, are summarized here: 1. 400,000 shares of common stock were issued at $14.70 per share. 2. 80,000 shares of treasury (common) stock were sold for $18.8 per share. 3. Net income for the year was $1,360 (in thousands). 4. The fiscal 2020 preferred dividends were paid in full. Assume that all 90,000 shares were outstanding throughout the year ended June 30, 2020 5. A cash dividend of $0.10 per share was declared and paid to common stockholders. Assume that transactions (1) and (2) occurred before the dividend was declared. 6. The preferred stock was split 2 for 1 on June 30, 2020. (Note: This transaction had no effect on transaction 4.) Required: a-1. Record the effect of transactions 1-6 in journal entry format a-2. Calculate the dollar amounts that DeZurik Corp. would report for each stockholders' equity caption on its June 30, 2020, balance sheet, after recording the effects of transactions 1-6. Also the treasury stock was purchased at $18.8. b. Indicate how the stockholders' equity caption details for DeZurik Corp. would change for the June 30, 2020, balance sheet, as compared to the disclosures for the 2019 balance sheet. c. What was the average issue price of common stock shown on the June 30, 2020, balance sheet? Complete this question by entering your answers in the tabs below. Required At Required A2 Required Required Record the effect of transactions 1-6 journal entry format. (t no entry is required for a particular transaction, sele required in the first account field, Enter your answers in dollars.) itry is required for a particular transaction, select "No journal entry View transaction list View journal entry worksheet Treasury stock 1504,000 No General Journal Credit Debt Transaction 1 / 1 5.880,000 / 3 1360 000 3 Common stock Additional pidin capital 2.000.000 3,680,000 Income stary Retained earings 1.300.000 2 1,500,000 2 2 4 477,000 4 Preferred stock 1,504.000 Treasury stock Cash 477009 3 3 1,360 000 Income summary Retained earnings / 5 5 Common stock 1,360,000 Cash 2 4 4 477 000 Preferred stock Cash 477.000 6 6 No journal entry required Required A1 Required A2 Required B Required C Calculate the dollar amounts that Dezurik Corp. would report for each stockholders' equity caption on its June 30, 2020, balance sheet, after recording the effects of transactions 1-6. Also the treasury stock was purchased at $18.8. (Enter your answer in thousands of dollars. Amounts to be deducted should be indicated with a minus sign.) Indicate how the stockholders' equity caption details for Dezurik Corp. would change for the June 30, 2020, balance sheet, as compared to the disclosures for the 2019 balance sheet. (Round the preferred stock values in dollars, rounded to 2 decimal places (e 9. 32.16) Do not enter answer in thousands) stares ahored Dollar amounts reported on the June 30, 2020 Balance sheet Preferred stock Common stock Additional paid-in capital on common stock Retained earnings Treasury stock Total stockholders' equity $ shares issued Preferred stock par vecumulate shares issued and outstanding Common stock 55 per value 4,000,000 shares authorized shares outstanding Treasury common stock, al cost, 5:06 PM What was the average issue price of common stock shown on the June 30, 2020, balance sheet? (Round your answer to 2 decimal places. (e.g., 32.16)) Average issue price per share

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

Management Control Systems Performance Measurement Evaluation And Incentives

Authors: Kenneth Merchant, Wim Van Der Stede

4th Edition

1292110554, 978-1292110554

More Books

Students also viewed these Accounting questions

Question

6.3 Explain the importance of application forms.

Answered: 1 week ago