More info

Jan. $16$

Feb. $15$

Jun. $10$

Jul. $30$

Aug. $15$

Oct. $26$

Nov. $8$

Nov. $30$

Declared a cash dividend on the $5\%,$$$105$ par noncumulative preferred stock $(900$ shares outstanding$).$ Declared a $$0\mathrm{.}50$ per share dividend on the $95,000$ shares of $$8$ par value common stock outstanding. The date of record is January $31,$ and the payment date is February $15.$

Paid the cash dividends.

Split common stock $2-$for$-1.$

Declared a $30\%$ stock dividend on the common stock. The market value of the common stock was $$9$ per share.

Distributed the stock dividend.

Purchased $1,600$ shares of treasury stock at $$10$ per share.

Sold $800$ shares of treasury stock for $$12$ per share.

Sold $700$ shares of treasury stock for $$7$ per share.

Requirement $1.$ Record the transactions in Clearborn's general journal. $($Record debits first, then credits. Select the explanation on the last line of the joumal entry table. If no entry is required, select $"$No entry required" on the first line of the Accounts and Explanation column and leave the remaining cells blank.$)$

Jan. $16$: Declared a cash dividend on the $5\%,$$$105$ par noncumulative preferred stock $(900$ shares outstanding$).$ Declared a $$0\mathrm{.}50$ per share dividend on the $95,000$ shares of $$8$ par value common stock outstanding. The date of record is January $31,$ and the payment date is February $15.$

$\backslash$table$[[$Date$,$Accounts and Explanation,$],[$Jan$.16,,]]$

Feb. $15$: Paid the cash dividends.

$\backslash$table$[[$Date$,$Accounts and Explanation,$],[$Feb$.15,,]]$

Jun. $10$: Split common stock $2-$for$-1.$

$\backslash$table$[[$Date$,$Accounts and Explanation,$],[$Jun$.10,,]]$

Jul. $30$: Declared a $30\%$ stock dividend on the common stock. The market value of the common stock was $$9$ per share.

$\backslash$table$[[$Date$,$Accounts and Explanation,Debit,Credit$],[$Jul$.30],[,,,],[,,,],[,,,],[,,,]]$

Aug. $15$: Distributed the stock dividend.

$\backslash$table$[[$Date$,$Accounts and Explanation,$],[$Aug$.15,,]]$

Oct. $26$: Purchased $1,600$ shares of treasury stock at $$10$ per share.

$\backslash$table$[[$Date$,$Accounts and Explanation,Debit,Credit$],[$Oct$.26],[,,,],[,,,],[,,,],[,,,]]$

Nov. $8$: Sold $800$ shares of treasury stock for $$12$ per share.

$\backslash$table$[[$Date$,$Accounts and Explanation,$],[$Nov$.8,,]]$

Nov. $30$: Sold $700$ shares of treasury stock for $$7$ per share.

$\backslash$table$[[$Date$,$Accounts and Explanation,Debit,Credit$],[$Nov$.30],[,,,],[,,,],[,,,],[,,,]]$

Requirement $2.$ Prepare the Clearborn's stockholders' equity section of the balance sheet as of December $31,2024.$ Assume that Clearborn was authorized to issue $1,000$ shares of preferred stock and $400,000$ shares of common stock. Both preferred stock and common stock were issued at par. The ending balance of retained earnings as of December $31,2024,$ is $$2,080,000.($Use parentheses or a minus sign for amounts to be subtracted.$)$

Clearborn Manufacturing, Co$.$

Balance Sheet $($Partial$)$

Clearborn Manufacturing, Co$.$

Balance Sheet $($Partial$)$

December $31,2024$

Stockholders' Equity

Paid$-$In Capital:

Total Paid$-$In Capital

Total Stockholders' Equity