An electric utility issued 3000 shares of common stock all

Assignment Help Accounting Basics

Reference no: EM13590556

An electric utility issued 3,000 shares of common stock, all of the same class; 2,800 shares are outstanding and 200 are held in the treasury. On August 15, 20XX, the board of directors declared a cash dividend of $2.10 per share, payable on September 15, 20XX, to stockholders of record on August 31, 20XX.

What are the entries to the accounting equation (by account title)? Give the appropriate journal entries.

Date of Declaration
Assets = Liab. + Equity
Date of Record
Assets = Liab. + Equity
Date of Payment
Assets = Liab. + Equity
Stockholders' Equity

The following information comes from a balance sheet at December 31, 20XX:
Common Stock, $1 par, 1,000,000 shares authorized $ 160,000

Paid-in Capital in Excess of Par--Common Stock 120,000
Total Capital Stock 280,000
Retained Earnings 80,000
Less: Treasury Stock (4,000 common shares at cost) <40,000>
Total Stockholders' Equity $320,000

Answer the following questions:
1. How many shares of common stock are issued?

2. How many shares of common stock are outstanding?

3. Assuming that all shares were sold at the same price, what was the original selling price per share?

4. If the company declares a 2-for-1 stock split on December 31, 20XX, describe the resulting change, if any, in the balances in capital stock accounts, par value, issued shares and outstanding shares of the common stock. Be detailed with words and numbers.

Reference no: EM13590556

Questions Cloud

Bagodonuts company bought a used delievery truck on jan 1 : bagodonuts company bought a used delievery truck on jan 1 2010 for 19200. the van was expected to remanin in service 4

Steve traveled 200 miles at a certain speed had he gone : steve traveled 200 miles at a certain speed. had he gone 10mph faster the trip would have taken 1 hour less. find the

Inventory valuation methods determine the cost of goods : inventory valuation methods determine the cost of goods sold and the inventory balance 1 explain how the average cost

A skier of mass 70kg is pulled up a slope by a motor driven : question a skier of mass 70kg is pulled up a slope by a motor driven cable. the work required to pul him 60m up a 30

An electric utility issued 3000 shares of common stock all : an electric utility issued 3000 shares of common stock all of the same class 2800 shares are outstanding and 200 are

All materials are added at the beginning of the process : the curing department of carmon company reported the following information for the month of novemberunitsconversion

A 300cm x 600cm rectangular circuit containing a 150olm : question a 30.0cm x 60.0cm rectangular circuit containing a 15.0olm resistor is perpendicular to a uniform magnetic

Internal conrol procedures are required to safeguard : internal conrol procedures are required to safeguard company assets and to ensure ethical operation of the

The electric motor of a model train accelerates the train : question the electric motor of a model train accelerates the train from rest to 0.620ms in 21.0milliseconds ms. the

User Account

All Pages