Please answer the journal entries and Annual dividends as soon as possible thank you
Question 6.06 Mark) Parts A and Part below are two independentist Part 2012 marles). Dy Smith varied Biotech Inc (BTE) October 1, 2020 on October 1 2020, BTE aed 100 common shes to De Sesit inche Sow 510,000 in cash. Also, the following events occurred in December 2020. .) On December 1, 2020, BT borrowed 51,200,000 years, bearing interest b) Os December 10, 2020, BT med 1000 prefened Class Ashtovestors for Sach The articles of incorporation (charter) diclosed that the Class A recove pred she had a stated value of $ 250 per share c) On December 28, 2020, BTE de and paid a 5 stock divided on the common shares The market value of the common shares before the cost of the stock divided w $ 250 per share d) On December 30, 2020, BTE poida divided to the choices of record of 50 per share Required: Please prepare the necessary anal entries for the chose toes above as well as any adjusting entries required at the you-end date December 31, 2020 required Date Account Debat Credit 10/1/2020 (Oct. 1.2020) 12/1/2020 Dec. 1.2020) 12/10/2020 12/28/2020 12/30/2020 12/31/2020 Edit Footer Question Part B.. 14 marks). In addition to commesso Esex Compostos has the following preferred shares outstanding at the end of 2000, and below Preferred shares Number of shares Axual divided $25 stated valer, 10%. Bon-cumont 1000 S100 stated valu, 6 cultive 2.500 1. Indicate the mount of dividido cachine of the poem by complete Last colums of the above table (2) 2. Ame that the rece year of divide is being of 2030 and duchowodral dividends of $40,000 2020 What is the condendo tutte como shareholders will ince20207 marts) Question 6 (16 Marks) Parts A and Part B below are two independent questions. Part A. (12 marks). Dr. Smith started Biotech Inc. (BTE) on October 1, 2020. On October 1, 2020, BTE issued 100 common shares to Dr. Smith in exchange for $10,000 in cash. Also, the following events occurred in December 2020. a) On December 1, 2020, BTE borrowed $1,200,000, 5-year loan, bearing 7% interest. b) On December 10, 2020, BTE issued 1000 preferred Class A shares to investors for $600 each. The articles of incorporation (charter) disclosed that the Class A, non-cumulative preferred shares had a stated value of $ 250 per share. c) On December 28, 2020, BTE declared and paid a 5% stock dividend on the common shares The market value of the common shares before the announcement of the stock dividend was $ 250 per share. d) On December 30, 2020, BTE paid a dividend to the common shareholders of record of $50 per share Required: Please prepare the necessary journal entries for the above transactions above as well as any adjusting entries required at the year-end date December 31, 2020. Narratives are not required. Account Debit Credit Date 10/1/2020 (Oct.1,2020) 12/1/2020 (Dec.1,2020) 12/10/2020 12/28/2020 12/30/2020 12/31/2020 Question 6. Part B. (4 marks). In addition to common shares outstanding, Essex Corporation has the following preferred shares outstanding at the end of 2020, as indicated below: Preferred shares Number of shares Annual dividends $25 stated value, 10%, non-cumulative 1000 shares 2500 shares $100 stated value, 6% cumulative, convertible Required: 1. Indicate the amount of annual dividend on each issue of the preferred shares by completing the last column of the above table (2 marks). 2. Assume that there are one year of dividends in arrears at the beginning of 2020 and Essex declared total dividends of $40,000 in 2020. What is the amount of dividends that the common shareholders will receive in 2020? (2 marks)
