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Wildhorse Genome Inc. is currently considering declaring a dividend to its common shareholders, according to one of the following plans: 1. Declare a cash dividend
Wildhorse Genome Inc. is currently considering declaring a dividend to its common shareholders, according to one of the following plans: 1. Declare a cash dividend of $10 per share. 2. Declare a 25% stock dividend. Wildhorse Genome would distribute one common share for every four common shares currently held. The company's common shares are currently selling for $25 per share. Wildhorse Genome is authorized to issue 265,000 common shares. To date, the company has issued 132,500 shares at $16 per share and is currently holding 26,500 of these as treasury shares. Prepare the entries necessary on the date of declaration, date of record, and date of payment of the cash dividend. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)
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