Question
On January 1, 2017, Frontier Corporation had $1,125,000 of common stock outstanding that was issued at par. It also had retained earnings of $750,000. The
On January 1, 2017, Frontier Corporation had $1,125,000 of common stock outstanding that was issued at par. It also had retained earnings of $750,000. The company issued 40,500 shares of common stock at par on July 1 and earned net income of $395,000 for the year.
Journalize the declaration of a 15% stock dividend on December 10, 2017, for the following independent assumptions.
| (a) | Par value is $10, and market price is $18. | |
| (b) | Par value is $5, and market price is $20. | |
| No. | Account Title & Explanation | Debit | Credit |
|---|---|---|---|
| A) | Stock Dividends | ????? | |
| Common Stock Dividends Distributable | ???? | ||
| Paid-In Capital in Excess of Par-Common Stock | ???? | ||
| B) | Stock Dividends | ????? | |
| Common Stock Dividends Distributable | ????? | ||
| Paid-In Capital in Excess of Par-Common Stock | ???? |
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