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Common stock?$26 par value, 48,000 shares...

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Common stock?$26 par value, 48,000 shares authorized, 38,000 shares issued and outstanding $ 988,000 Paid-in capital in excess of par value, common stock 60,000 Retained earnings 260,000 Total stockholders? equity $ 1,308,000 In year 2012, the following transactions affected its stockholders? equity accounts. Jan. 2 Purchased 3,200 shares of its own stock at $26 cash per share. Jan. 7 Directors declared a $2 per share cash dividend payable on Feb. 28 to the Feb. 9 stockholders of record. Feb. 28 Paid the dividend declared on January 7. July 9 Sold 500 of its treasury shares at $31 cash per share. Aug. 27 Sold 2,700 of its treasury shares at $24 cash per share. Sept. 9 Directors declared a $2 per share cash dividend payable on October 22 to the September 23 stockholders of record. Oct. 22 Paid the dividend declared on September 9. Dec. 31 Closed the $12,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Required: 1. Prepare journal entries to record each of these transactions for 2012. (Omit the "$" sign in your response.) Jan. 2 Jan. 7 Feb. 28 July 9 Aug. 27 Sept. 9 Oct. 22 Dec. 31 2. Prepare a statement of retained earnings for the year ended December 31, 2012. (Amounts to be deducted should be indicated with a minus sign. Omit the "$" sign in your response.) KROLL CORPORATION Statement of Retained Earnings For Year Ended December 31, 2012 $ $ 3. Prepare the stockholders? equity section of the company?s balance sheet as of December 31, 2012. (Omit the "$" sign in your response.) KROLL CORPORATION Stockholders? Equity Section of the Balance Sheet December 31, 2012 $ Total stockholders? equity $

 

Paper#4307 | Written in 18-Jul-2015

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