Journalizing dividend and treasury stock transactions

Assignment Help Finance Basics

Reference no: EM1338261

Journalizing dividend and treasury stock transactions, and preparing stockholders' equity

The balance sheet of Lennox Health Foods, at December 31, 2011, reported 120,000 shares of no-par common stock authorized, with 25,000 shares issued and a Common stock balance of $190,000. Retained earnings had a balance of $115,000. During 2012, the company completed the following selected transactions:

May 15
Purchased 9000 shares of treasury stock at $8.00 per share
April 30
Distributed a 10% stock dividend on the outsanding shares of common stock was $9.00 per share
Dec. 31
Earned net income of $110,000 during the year. Closed net income to Retained earnings.

Requirements

1. Record the transactions in the general journal. Explanations are not required.

2. Prepare the stockholders' equity section of Lennox Health Foods' balance sheet at December 31, 2012.

Reference no: EM1338261

Questions Cloud

Iliad and greek civilization : How does the Iliad reveal the powers of the king, the noblemen, and the common soldiers in government during the Greek Middle Ages?

Define the affect the amendments have on evidence discovery : define the affect the amendments have on evidence discovery, collection, and preservation techniques and the legal aspects of search warrants and the related device and data seizure.

Beta analysis of hewlett packard : You are analyzing the beta for Hewlett Packard and have broken down the company into four broad business groups, with market values and betas for each group.

Different types of project feasibility factors : List and discuss the different types of project feasibility factors. Is any factor most important? Why or why not?

Journalizing dividend and treasury stock transactions : Journalizing dividend and treasury stock transactions, and preparing stockholders' equity Prepare the stockholders' equity section of Lennox Health Foods' balance sheet at December 31, 2012.

Individual development plan : Describe how the following aspects of an Individual Development Plan contribute to the effectiveness.

You manage a us based company that makes : You manage a US based company that makes shoe laces that you sell in a highly competitive marke

Decline of roman empire : Discuss the decline of the empire and the last Caesars, what were some of the factors that weakened that empire? Please explain. Do you see any of those things happening in your own nation today? Do you think that might be significant?

Explain the legal aspects of starting a business : Explain The Legal Aspects of Starting a Business and Describe the financing options for each type of business start-up and its legal obligations

User Account

All Pages