Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information [The following information applies to the questions displayed below.) Nautical has two classes of stock authorized: $10 par preferred, and $1 par value

image text in transcribed
image text in transcribed
Required information [The following information applies to the questions displayed below.) Nautical has two classes of stock authorized: $10 par preferred, and $1 par value common. As of the beginning of 2021. 150 shares of preferred stock and 2.800 shares of common stock have been issued. The following transactions affect stockholders' equity during 2021 March 1 Issue 2,880 additional shares of common stock for $12 per share. April 1 Issue 150 additional shares of preferred stock for $38 per share. June 1 Declare a cash dividend on both common and preferred stock of $0.35 per share to all stockholders of record on June 15. June 30 Pay the cash dividends declared on June 1. August 1 Purchase 250 shares of common treasury stock for $9 per share. October 1 Reissue 150 shares of treasury stock purchased on August 1 for $11 per share. Nautical has the following beginning balances in its stockholders' equity accounts on January 1, 2021: Preferred Stock, $1,500, Common Stock, $2,800, Additional Paid-in Capital, $19,300; and Retained Earnings, $11,300. Net income for the year ended December 31, 2021, is $7.550. Required: 1. Record each of these transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required in the first account field.) View transaction View journal entry worksheet No Date General Journal Debit Credit 20 Saved Required information Credit No 1 Debit 33,600 Date General Journal March 01, 2021 Cash Common Stock Additional Paid-In Capital 28,000 5,600 2 April 01, 2021 5,700 Cash Preferred Stock Additional Paid-In Capital 1,500 4,200 3 June 01, 2021 Retained Earnings Dividends Payable 1 4 June 30, 2021 Dividends Payable Cash 5 August 01, 2021 Treasury Stock Cash 6 October 01, 2021 Cash Treasury Stock Additional Paid-In Capital

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

Workbook/Study Guide To Accompany Managerial Accounting

Authors: Ray H Garrison, Eric Noreen, Peter C. Brewer

11th Edition

0072986131, 978-0072986136

More Books

Students also viewed these Accounting questions

Question

design a simple performance appraisal system

Answered: 1 week ago