Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On January 1, Ayayai Corp. had 63,200 shares of no-par common stock issued and outstanding. The stock has a stated value of $4 per share.
On January 1, Ayayai Corp. had 63,200 shares of no-par common stock issued and outstanding. The stock has a stated value of $4 per share. During the year, the following transactions occurred.
Apr. 1 | Issued 19,350 additional shares of common stock for $12 per share. | |
June 15 | Declared a cash dividend of $1.55 per share to stockholders of record on June 30. | |
July 10 | Paid the $1.55 cash dividend. | |
Dec. 1 | Issued 8,600 additional shares of common stock for $11 per share. | |
Dec. 15 | Declared a cash dividend on outstanding shares of $1.65 per share to stockholders of record on December 31. |
(a) | Prepare the entries, if any, on each of the three dates that involved dividends. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimal places, e.g. 1,225.) |
Date Account Titles and Explanation Debit Credit June 15 Accounts Receivable 1279525 Dividends Payable 1279525 July 10 v | |Dividends Payable 1279525 Cash 1279525 Dec. 15 Accounts Receivable 1527075 Dividends Payable 1527075
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started