Did retained earnings increase or decrease

Assignment Help Financial Accounting
Reference no: EM132487751

Loki Corporation earned net income of $90,000 during the year ended December 31 2016. On December 15, Loki had declared the annual cash dividend on its $0.35 preferred shares (5,000 shares issued for $80,000) and a $0.40 per share cash dividend on its common shares (20,000 shares issued for $60,000). Loki then paid the dividends on January 4, 2017.

Question 1. Journalize the following for Loki Corporation:

• Declaring the cash dividends on December 15, 2016.

• Paying the cash dividends on January 4, 2017.

Question 2. Did Retained Earnings increase or decrease during 2016? If so, by how much?

Reference no: EM132487751

Questions Cloud

Compute the cost of equity-capm : Booher Book Stores has a beta of 0.9. The yield on a 3-month T-bill is 4% and the yield on a 10-year T-bond is 8%. The market risk premium is 4.5%
Cost of equity-dividend growth : Summerdahl Resort's common stock is currently trading at $29 a share. The stock is expected to pay a dividend of $2.25 a share at the end of the year
BAF 205 Commercial Banking Assignment : BAF 205 Commercial Banking Assignment Help and Solution - Emirates College of Technology, UAE. Describe the nature of the banking industry of UAE
How long will it take for investment to double in value : If you invest $2,000 today in a money market account that earns 2.5% per year, how long will it take for your investment to double in value?
Did retained earnings increase or decrease : Did Retained Earnings increase or decrease during 2016? If so, by how much? Journalize the following for Loki Corporation Declaring the cash dividends on Dec
Cost of preferred stock with flotation costs : Burnwood Tech plans to issue some $80 par preferred stock with a 8% dividend. A similar stock is selling on the market for $95.
Cost of preferred stock with flotation costs : Burnwood Tech plans to issue some $80 par preferred stock with a 8% dividend. A similar stock is selling on the market for $95.
What is the lowest possible realized return of the industry : What is the expected return of the industry's equity without leverage? What is the expected return of the industry's equity with leverage?
After-tax cost of debt-ll incorporated : LL Incorporated's currently outstanding 8% coupon bonds have a yield to maturity of 5.8%. LL believes it could issue new bonds

Reviews

Write a Review

Financial Accounting Questions & Answers

  Estimate financial benefits associated with adoption of jit

You have been asked, in conjunction with your position as the management accountant for the company, to construct an Excel spreadsheet that can be used to estimate the financial benefits associated with the adoption of JIT.

  What income from the investment in holister

On January 1, 2014, Alison, Inc., paid $69,500 for a 40 percent interest in Holister Corporation’s common stock. This investee had assets with a book value of $219,500 and liabilities of $95,500. A patent held by Holister having a $12,000 book value ..

  Develop a detailed asset management strategy

develop a detailed asset management strategy to ensure streamlined acquisition and management - implement your Asset Identification and Monitoring Strategy

  Separate accounting standard

We have a separate accounting standard, AASB 138, that specifically deals with intangible assets and it provides different requirements from those for property, plant and equipment (the rules for which appear in AASB 116). what is it about intangible..

  Prepare and show the unadjusted book balance

The bank statement for Tetra Company, Assuming that the unadjusted bank balance was $1,900, show the unadjusted book balance?

  Calculation of quantitative analysis to support

calculation of quantitative analysis to support recommendations.bromley corporation processes tomatoes in batches. the

  Enter the impact of each transaction on individual items

The following transactions were completed by the company. Enter the impact of each transaction on individual items of the accounting equation.

  What audit would be taken to evaluate the sale

Since it was shipped as of 31 st December, does this represent a sale for the year ended on that date? What additional audit steps would be taken to evaluate that the sale is valid?

  Using computerized system and a manual system

Describe the differences in the closing process using a computerized system and a manual system. Why do you need to know how to do both?

  A year ending balance sheet showed the subsequent subtotals

a year ending balance sheet showed the subsequent subtotals current liabilities 80000property plant and equipment

  What would be total variable costs for this new level

An Internet gourmet foods company, “Yumminess”, will be including “Chocolate Attack Brownies” (CAB) in their online catalog. What would be total variable costs for this new level? What would be total fixed costs for this new level?

  Count of supplies shows

Depreciation Expense, No. 631 Supplies Expense, No. 718 Interest Expense, and No. 722 Insurance Expense. Other data: 1. Prepaid insurance is a 1-year policy starting May 1, 2017. 2. A count of supplies shows $800 of unused supplies on May 31. 3.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd