Marshall Company reports the following components of stockholders equity on January 1.
Common stock$10 par value, 130,000 shares authorized, 50,000 shares issued and outstanding $ 500,000
Paid-in capital in excess of par value, common stock 75,000
Retained earnings 410,000
Total stockholders' equity $ 985,000
During the year, the following transactions affected its stockholders equity accounts.
January 2 Purchased 5,000 shares of its own stock at $23 cash per share.
January 5 Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record.
February 28 Paid the dividend declared on January 5.
July 6 Sold 2,500 of its treasury shares at $27 cash per share.
August 22 Sold 2,500 of its treasury shares at $19 cash per share.
September 5 Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record.
October 28 Paid the dividend declared on September 5.
December 31 Closed the $323,000 credit balance (from net income) in the Income Summary account to Re
GL1101 (Algo) - Based on Problem 11-2A LO C3, P2, P3 Marshall Company reports the following components of stockholders' equity on January 1 Common stock-$10 par value, 130,000 shares authorized, 50,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity During the year, the following transactions affected its stockholders' equity accounts. $ 500,000 75,000 410,000 $985,000 January 2 Purchased 5,000 shares of its own stock at $23 cash per share. January 5 Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record. February 28 Paid the dividend declared on January 5. July 6 Sold 2,500 of its treasury shares at $27 cash per share. August 22 Sold 2,500 of its treasury shares at $19 cash per share. September 5 Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. October 28 Paid the dividend declared on September 5. December 31 closed the $323,000 credit balance (from net income) in the Income Summary account to Retained Earnings. WWGEy account to Retained Earnings Requirement General General Statement of Stockholders Journal Trial Balance Impact on Ledger RE Equity Equity General Journal tab - Journalize the transactions related to the notes and accounts payable of Marshall Corporation. The General Ledger, Trial Balance and Schedule of Payables will be updated based on your entries. General Ledger tab - One of the advantages of general ledger software is that posting is done automatically. To see the detail of all transactions that affect a specific account, or the balance in an account at a specific point in time, click on the General Ledger tab. Trial Balance tab - General ledger software also automates the preparation of trial balances. A trial balance lists each account from the General Ledger, along with its balance, either a debit or a credit. Total debits should always equal total credits. Statement of Retained Earnings tab - Prepare the Statement of Retained Earnings for the Marshall Corporation for the year ended December 31. Stockholders' Equity tab - Prepare the Stockholders' equity section of Marshall Corporation's December 31 balance sheet. Impact on Equity tab - For each transaction, indicate the total change in Stockholders' Equity, if any. Verify that total equity, as calculated, agrees with the amount reported on the Stockholders' Equity tab. 5 View transaction list Journal entry worksheet Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record. Note: Enter debits before credits. Date Account Title Debit Credit January 05 Record entry Clear entry View general journal View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 > Paid the dividend declared on January 5. Note: Enter debits before credits. Account Title Debit Credit Date February 28 Record entry Clear entry View general journal ULUUA. View transaction list Journal entry worksheet 1 2 2 3 3 4 5 6 78 > Sold 2,500 of its treasury shares at $27 cash per share. Note: Enter debits before credits Account Title Debit Date July 06 Credit Record entry Clear entry View general journal View transaction list Journal entry worksheet Sold 2,500 of its treasury shares at $19 cash per share. Note: Enter debits before credits. Account Title Debit Credit Date August 22 Record entry Clear entry View general Journal journal entry is required, select "No journal entry required" in the first input box. View transaction list Journal entry worksheet Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. Note: Enter debits before credits. Account Title Debit Credit Date September 05 Record entry Clear entry View general Journal View transaction list Journal entry worksheet Paid the dividend declared on September 5. Note: Enter debits before credits Date Account Title Debit Credit October 28 Record entry Clear entry View general Journal Journal entry worksheet Closed the $323,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Note: Enter debits before credits. Date Account Title Debit Credit December 31 Record entry Clear entry View general Journal LY LU Rocained Barning Requirement General Journal General Ledger Trial Balance Statement of Stockholders RE Equity Impact on Equity Dates: January 01 to: January 01 General Ledger Account Cash No. Debit Credit Date January 01 No. Balance 440,000 Accounts recolvable Debit Credit Date January 01 Balance 186,000 Equipment No. Debit Credit No. Date January 01 Balance 750,000 Accumulated depreciation - Equipment Date Debit Credit January 01 Balance 68,000 Common stock No. Debit Credit No. Date January 01 Balance 500,000 Pald-in capital, Common Date Debit Credit January 01 Balance 75,000 Income summary Retained earnings Debit Credit No. No. Debit Date January 01 Balance 410,000 Credit Date January 01 Balance (323,000) Requirement General Journal General Ledger Trial Balance Statement of Stockholders RE Equity Impact on Equity Cash Accounts receivable Equipment Accumulated depreciation - Equipment Common stock Paid-in capital, Common Retained earnings Income summary Total Dates: January 01 to: January 01 MARSHALL CORPORATION Trial Balance January 01, 2021 Account Title Debit Credit 440,000 186,000 750,000 68,000 500,000 75,000 410.000 323,000 $1,376,000 $ 1,376,000 1 12 Requirement General Journal General Ledger Trial Balance Statement of Stockholders RE Equity Impact on Equity Prepare the Statement of Retained Earnings for Marshall Corporation for the year ended December 31. MARSHALL CORPORATION Statement of Retained Earnings For Year Ended December 31 Requirement General Journal General Ledger Trial Balance Statement of Stockholders RE Equity Impact on Equity Prepare the stockholders' equity section of Marshall Corporation's balance sheet as of December 31. Dates: January 01 to: January 01 MARSHALL CORPORATION Stockholders' Equity Section of the Balance Sheet December 31 Total contributed capital Total stockholders' equity December 31 Closed the $323,000 credit balance (from net income) in the Income Summary account to Retained Earnings. General Requirement General Statement of Stockholders Journal Trial Balance Impact on Ledger RE Equity Equity For each transaction, indicate the impact on total stockholders' equity. Enter decreases to equity as negative values. Verify that total Stockholders' equity as of December 31, as calculated, agrees with the amount reported on the balance sheet. Dates: January 01 $ to: January 01 Impact on equity Total Stockholders' Equity - January 1 January 2) Purchased 5,000 shares of its own stock at $23 cash per share. January 5) Directors declared a $2 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record, February 28) Paid the dividend declared on January 5. July 6) Sold 2,500 of its treasury shares at $27 cash per share. August 22) Sold 2.500 of its treasury shares at $19 cash per share September 5) Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. October 28) Paid the dividend declared on September 5, December 31) Closed the $323,000 credit balance (from net income) in the Income Summary account to Retained Earnings
