Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On January 1, AB Corporation had 300,000 common shares issued. On April 10, the company declared a 10% stock dividend to be distributed on April

image text in transcribed

image text in transcribed

On January 1, AB Corporation had 300,000 common shares issued. On April 10, the company declared a 10% stock dividend to be distributed on April 30. The date of record was April 20. The market value of the shares was $5 on April 10, $7 on April 20 and $9 on April 30. The entry to record the transaction on April 10 would include a Multiple Choice O Credit to Retained Earnings for $270,000. Credit to Stock Dividends Distributable for $150,000. Credit to Common Shares for $210,000. Credit to Stock Dividends Payable for $150,000. Credit to Stock Dividends Distributable for $270,000

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

Modernize Your Audit Department Five Critical Areas For Improvement

Authors: Toby DeRoche

1st Edition

B08FKW8B91, 979-8674160274

More Books

Students also viewed these Accounting questions

Question

Describe the three most common message strategies.

Answered: 1 week ago