Problem 14-01A a-c (Video) On January 1, 2020, Sandhill Corporation had the following stockholders' equity accounts. Common Stock ($24 par value, 64,000 shares issued and outstanding) Paid-in Capital in Excess of Par-Common Stock Retained Earnings $1,536,000 204,000 574,000 During the year, the following transactions occurred. s occurred. Feb. 1 Declared a $3 cash dividend per share to stockholders of record on February 15, payable March 1. Mar. 1 Paid the dividend declared in February Apr. 1 Announced a 2-for-1 stock split. Prior to the split, the market price per share was $38. July 1 Declared a 10% stock dividend to stockholders of record on July 15, distributable July 31. On July 1, the market price of the stock was $15 per share. 31 Issued the shares for the stock dividend. Dec. 1 Declared a $0.50 per share dividend to stockholders of record on December 15, payable January 5, 2021 31 Determined that net income for the year was $318,500. Journalize the transactions and the closing entries for net income and dividends. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select Entry" for the account tities and enter o for the amounts. Record journal entries in the order presented problem.) Date Account Titles and Explanation Debit Credit Feb. 1 Cash Dividends 192000 Dividends Payable 192000 Mar. 1 Dividends Payable 192000 Cash 192000 Apr. 1 No Entry No Entry July 1 Stock Dividends July 31 Journalize the transactions and the closing entries for net income and dividends. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select Entry" for the account titles and enter o for the amounts. Record journal entries in the order presented in problem.) Date Account Titles and Explanation Debit Credit Credit Feb. 1 Cash Dividends 192000 Dividends Payable JL 192000 Mar. 1 Dividends Payable 192000 Cash UZURA 192000 No Entry No Entry Stock Dividends July 1 Dec. 31 Income Summary Retained Earnings (To close net income) Dec. 31 Retained Earnings Stock Dividends (To close stock dividends) Dec. 31 Retained Earnings Cash Dividends To close cash dividends) Enter the beginning balances, and post the entries to the stockholders' equity accounts. (Note: Open additional stockholders' equity accounts as needed.) (Post entries in the order of journal entries presented in the previous part.) Enter the beginning balances, and post the entries to the stockholders' equity accounts. (Note: Open additional stockholders' equity accounts as needed.) (Post entries in the order of journal entries presented in the previous part.) Common Stock Date 23 Explanation 3 Balance Common Stock Dividends Distributable Paid-in Capital in Excess of Par Comm - Balance Retained Earnings Explanation Rel Balance Balance Net income Stock dividend Cash dividend Cash Dividends Explanation Ref Debit Credit Balance Stock Dividends Date Explanation Ref Debit Credit Balanse Common Stock Dividends Distributable Date Explanation Ref De Pald-in Capital in Exer of Date Explanation Common Stock Ref Retained Earning Explanation Ref Debit Credit Halance Balance Stock dividend Cash dividend Cash Dividends Explanation Ref Debit Credit Balance Stock Dividends Date Balance Credit Explanation Ref Debit Prepare a stockholders' equity section at December 31. (Enter account name only and do not provide descriptive information.) Prepare a stockholders' equity section at December 31. (Enter account name only and do not provide descriptive information.) SANDHILL CORPORATION Balance Sheet (Partial) Click if you would like to Show Work for this question: Open Show Work Question Attempts: 0 of 3 used
