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Problem 11-8A On January 1, 2014, Everett Corporation had these stockholders equity accounts. Common Stock ($10par value,67,000shares issued and outstanding) $670,000 Paid-in Capital in Excess

Problem 11-8A On January 1, 2014, Everett Corporation had these stockholders equity accounts.
Common Stock ($10par value,67,000shares issued and outstanding) $670,000
Paid-in Capital in Excess of Par Value 483,400
Retained Earnings 627,600
During the year, the following transactions occurred.
Jan. 15 Declared a $0.40cash dividend per share to stockholders of record on January 31, payable February 15.
Feb.15 Paid the dividend declared in January.
Apr.15 Declared a10% stock dividend to stockholders of record on April 30, distributable May 15. On April 15, the market price of the stock was $16per share.
May15 Issued the shares for the stock dividend.
Dec.1 Declared a $0.70per share cash dividend to stockholders of record on December 15, payable January 10, 2015.
Dec.31 Determined that net income for the year was $383,900.

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Journalize the transactions. (Record entries in the order displayed in the problem statement. Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Date Account Titles and Explanation Debit Credit
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_002 Cash Dividends 26800
Dividends Payable 26800
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_022 Dividends Payable 26800
Cash 26800
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_042 Stock Dividends 107200
Common Stock Dividends Distributable 67000
Paid-in Capital in Excess of Par Value-Common Stock 40200
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_068 Common Stock Dividends Distributable 67000
Common Stock 67000
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_088 Cash Dividends 51590
Dividends Payable 51590
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_108 Income Summary 383900
Retained Earnings 383900
(To close net income)
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_127 Retained Earnings 107200
Stock Dividends 107200
(To close stock dividends)
Jan. 15Feb. 15Apr. 15May 15Dec. 1Dec. 31res_EAT_1350493019185_0_6886205135945414_146 Retained Earnings 78390
Cash Dividends 78390
(To close cash dividends)

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Enter the beginning balances and post the entries to the stockholders equity T-accounts. (Post entries in the order of journal entries posted in the previous part)
Common Stock
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_170 670000
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_193 67000
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_216 737000
Retained Earnings
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_225 107200 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_230 483400
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_245 78390 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_255 383900
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_276 681710
Paid-in Capital in Excess of Par Value
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_290 627600
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_312 40200
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_336 667800
Cash Dividends
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_341 26800 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_355 78390
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_364 51590 1/1Bal.1/154/155/1512/112/3112/31Bal.
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_386 0 1/1Bal.1/154/155/1512/112/3112/31Bal.
Common Stock Dividends Distributable
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_403 67000 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_412 67000
1/1Bal.1/154/155/1512/112/3112/31Bal. 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_436 0
Stock Dividends
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_442 107200 1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_455 107200
1/1Bal.1/154/155/1512/112/3112/31Bal.res_EAT_1350493019185_0_6886205135945414_466 0 1/1Bal.1/154/155/1512/112/3112/31Bal.

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Prepare the stockholders equity section of the balance sheet at December 31.
EVERETT CORPORATION Partial Balance Sheet December 31, 2014
Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentRevenuesStockholders' EquityTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal RevenuesAdditional Paid-in CapitalPaid-in CapitalCapital StockTotal Capital StockTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Stockholders EquityTotal Additional Paid-in Capitalres_EAT_1350493019185_0_6886205135945414_489
Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentRevenuesStockholders' EquityTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal RevenuesAdditional Paid-in CapitalPaid-in CapitalCapital StockTotal Capital StockTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Stockholders EquityTotal Additional Paid-in Capitalres_EAT_1350493019185_0_6886205135945414_532
Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentRevenuesStockholders' EquityTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal RevenuesAdditional Paid-in CapitalPaid-in CapitalCapital StockTotal Capital StockTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Stockholders EquityTotal Additional Paid-in Capitalres_EAT_1350493019185_0_6886205135945414_563
Common Stock $ 737000
Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentRevenuesStockholders' EquityTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal RevenuesAdditional Paid-in CapitalPaid-in CapitalCapital StockTotal Capital StockTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Stockholders EquityTotal Additional Paid-in Capitalres_EAT_1350493019185_0_6886205135945414_599
Paid-in Capital in Excess of Par Value-Common Stock 667800
Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentRevenuesStockholders' EquityTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal RevenuesAdditional Paid-in CapitalPaid-in CapitalCapital StockTotal Capital StockTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Stockholders EquityTotal Additional Paid-in Capitalres_EAT_1350493019185_0_6886205135945414_630 1404800
Retained Earnings 737000
Current AssetsCurrent LiabilitiesExpensesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesNet Income / (Loss)Property, Plant and EquipmentRevenuesStockholders' EquityTotal AssetsTotal Current AssetsTotal Current LiabilitiesTotal ExpensesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Property, Plant and EquipmentTotal RevenuesAdditional Paid-in CapitalPaid-in CapitalCapital StockTotal Capital StockTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Stockholders EquityTotal Additional Paid-in Capitalres_EAT_1350493019185_0_6886205135945414_670 $ 2141800

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Calculate the payout ratio and return on common stockholders equity. (Round answers to 1 decimal place, e.g. 12.5%.)
Payout ratio 48.3% %
Return on common stockholders equity 19.6% %

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