Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock, $100 par, and 200,000 shares of $25 par common stock. Indicate the account on Dec. 1 that should be recorded in the Description column of the Journal item (2) as the account to be credited and the amount assuming that Sunshine Corp. declared the annual dividend on the preferred stock with 10,000 shares of the preferred stock having been issued. Sunshine Corp. is not declaring a dividend on the Common Stock PREF JOURNAL DATE DESCRIPTION Dec. 1 (1) (2) CREDIT DEBIT ( O Cash Dividend credited for the amount of $50,000 Cash Dividend credited for the amount of $200,000 O Cash Dividend Payable credited for $2000,000 O Cash Dividend Payable credited for $50,000 Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock, $100 par, and 200,000 shares of $25 par common stock. December 30 is the date of payment for the dividend that was declared on December 1. Indicate the account on Dec. 30 that should be recorded in the Description column of the Journal item (1) as the account to be debited and the amount to pay the annual dividend on the preferred stock. The payment is for the annual dividend on the 10,000 shares of the preferred stock having been issued. DATE DESCRIPTION PREF DEBIT CREDIT Dec. 30 (1) (1) (2) (2) Cash Dividend debited for the amount of $50,000 O Cash Dividend debited for the amount of $200,000 Cash Dividend Payable debited for $2,000,000 Cash Dividend Payable debited for $50,000 Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock, $100 par, and 200,000 shares of $25 par common stock. December 30 is the date of payment for the dividend that was declared on December 1. Indicate the account on Dec. 30 that should be recorded in the Description column of the Journal item (2) as the account to be credited and the amount to pay the annual dividend on the preferred stock. The payment is for the annual dividend on the 10,000 shares of the preferred stock having been issued. DATE DESCRIPTION PREF DEBIT CREDIT Dec. 30 (1) (1) (2) (2) Cash credited for the amount of $50,000 Cash credited for the amount of $200,000 Cash Dividend Payable credited for $2,000,000 O Cash Dividend Payable credited for $50,000 IS Sunshine Corp. was organized on Jan. 1 with authorization of 20,000 shares of $5 preferred stock. $100 par, and 200,000 shares of $25 par common stock. Indicate the account on Dec. 1 that should be recorded in the Description column of the Journal item (1) as the account to be debited and the amount assuming that Sunshine Corp. declared the annual dividend on the preferred stock with 10,000 shares of the preferred stock having been issued. Sunshine Corp. is not declaring a dividend on the Common Stock JOURNAL DATE DESCRIPTION Dec.11) PREF DEBIT CREDIT SS Cash Dividend debited for the amount of $50,000 O Cash Dividend debited for the amount of $200,000 Cash Dividends Payable debited for $50,000 AT Cash Dividends Payable debited for $200,000
