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The following data were taken from the balance sheet accounts of Waterway Corporation on De 31, 2016 $578,000 686,000 454,000 152,000 847,000 Current assets Debt
The following data were taken from the balance sheet accounts of Waterway Corporation on De 31, 2016 $578,000 686,000 454,000 152,000 847,000 Current assets Debt investments Common stock (par value $10) Paid-in capital in excess of par Retained earnings Prepare the required journal entries for the following unrelated items. (Credit account titles a automatically indented when amount is entered. Do not indent manually. If no entry i required, select "No Entry" for the account titles and enter O for the amounts.) (a) A 6% stock dividend is (1) declared and (2) distributed at a time when the market price share is $41 (b) The par value of the common stock is reduced to $2 with a 5-for-1 stock split. (c) A dividend is declared January 5, 2017, and paid January 25, 2017, in bonds held as an investment. The bonds have a book value of $101,000 and a fair value of $125,000 No. Date Account Titles and Explanation Debit Credit To record change in value of bonds) (To record the declaration of dividends)
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