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This is the first year of operations of Carver Company. They provide you with an incomplete Stockholders' Equity section as of December 31, 20X1 is
This is the first year of operations of Carver Company. They provide you with an incomplete Stockholders' Equity section as of December 31, 20X1 is presented as follows. Show how all work supporting final numbers to receive any credit---answers without proper supporting documentation will receive no credit (ie I do not accept just answers....also want supporting documentation). Common Stock, XX Par Value, 100,000 Shares authorized, 20,000 shares issued Common Stock: Additional Paid-in-Capital 8% Non-Cummulative Preferred Stock, $100 Par Value, 1,000 Shares authorized,700 Shares issued Preferred Stock: Additional Paid-in-Capital Less: Treasury Common Stock, 2,000 shares Common and Preferred Equity Retained Earnings $200,000 $1,200,000 $? $130,000 $(?) $? $600,000 Required: With respect to the above, please provide the following. Show all work to receive any credit. A. The par value/share of common stock: B. The average per-share sales price of common stock when originally issued: C. Dollar balance of Non-Cummlative Preferred Stock: PAR: D. Cost of Treasury Stock Re-purchased : E. The average per-share sales price of the preferred stock when originally issued: F. The cost of the treasury stock per share:_ G. Number of Common Shares Outstanding_ H. Assume Carver decides to sell the 4,000 Treasury shares for $34,000. Provide the journal entry to record the sale: Account DR CR I. Suppose the Co's current year net income is $80,000. They would like to pay out all $38,000 to preferred and common shareholders in the form of a dividend. How much (in total) are they allowed to pay each shareholder group: Dividend to Preferred Shareholders: Dividend to Common Shareholders
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