Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On January 1, 2016, Metco, Inc., reported 271,000 shares of $7 par value common stock as being issued and outstanding. On March 15, 2016, Metco,

On January 1, 2016, Metco, Inc., reported 271,000 shares of $7 par value common stock as being issued and outstanding. On March 15, 2016, Metco, Inc., purchased for its treasury 2,700 shares of its common stock at a price of $39.00 per share. On August 10, 2016, 600 of these treasury shares were sold for $45.50 per share. Metco's directors declared cash dividends of $0.50 per share during the second quarter and again during the fourth quarter, payable on June 30, 2016, and December 31, 2016, respectively. A 5% stock dividend was issued at the end of the year. There were no other transactions affecting common stock during the year.

2.

value:

10.00 points

Required information

Required:

a-1.Use the horizontal model for the treasury stock purchase on March 15, 2016.(Use amounts with + for increases and amounts with for decreases.)

3.

value:

10.00 points

Required information

a-2.Prepare the journal entry for the treasury stock purchase on March 15, 2016.(If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

4.

value:

10.00 points

Required information

b.Calculate the total amount of the cash dividends paid in the second quarter.

5.

value:

10.00 points

Required information

c-1.Use the horizontal model for the sale of the treasury stock on August 10, 2016.(Use amounts with + for increases and amounts with for decreases.)

6.

value:

10.00 points

Required information

c-2.Prepare the journal entry for the sale of the treasury stock on August 10, 2016.(If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

7.

value:

10.00 points

Required information

d.Calculate the total amount of cash dividends paid in the fourth quarter.

8.

value:

10.00 points

Required information

e.Calculate the number of shares of stock issued in the stock dividend.

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

Accounting A Pathway Into The World Of Business And Data Analytics

Authors: Carl S. Warren, Jefferson P. Jones, William Tayler

29th Edition

0357899644, 9780357899649

More Books

Students also viewed these Accounting questions

Question

Explain the importance of Human Resource Management

Answered: 1 week ago

Question

Discuss the scope of Human Resource Management

Answered: 1 week ago

Question

Discuss the different types of leadership

Answered: 1 week ago

Question

Write a note on Organisation manuals

Answered: 1 week ago

Question

Speak clearly and distinctly with moderate energy

Answered: 1 week ago

Question

Get married, do not wait for me

Answered: 1 week ago

Question

Do not pay him, wait until I come

Answered: 1 week ago