Reference no: EM131063427
Eureka enterprises Inc. manufactures bathroom fixtures.
Eureka enterprises Inc. manufactures bathroom fixtures. The stockholders' equity accounts of the company, with balances on Jan. 1, 2008, are as follows:
Common Stock, $10 stated value
(500,000 shares authorized, 380,000 shares issued)............................$3,800,000
Paid-in Capital in Excess of Stated
value.................................................................................................760,000
Retained Earnings...................................................................................4,390,000
Treasury Stock (25,000 shares, at cost).......................................................500,000
The following selected transactions occurred during the year:
Jan. 10 Paid cash dividends of $0.20 per share on the common stock. The dividend had been properly recorded when declared on Dec. 30 of the proceeding fiscal year for $71,000.
Mar. 3 Issued 20,000 shares of common stock for $460,000.
May 21 Sold all of the treasury stock for $650,000.
July 1 Declared a 3% stock dividend on common stock, to be capitalized at the market price of the stock, which is $30 per share.
Aug. 15 Issued the certificates for the dividend declared on July1.
Sep 30 Purchased 10,000 shares of treasury stock for $230,000
Dec. 27 Declared a $0.25 per share dividend on common stock
Dec. 31 Closed the credit balance of the income summary account, $639,500.
Dec. 31 Closed the two dividends accounts to Retained Earnings.
Instructions:
1. Enter the Jan. 1 balances in T accounts for the stockholders' equity accounts listed. Also prepare T accounts for the following: Paid-In Capital from the Sale of Treasury Stock; Stock Dividends Distributable; Stock Dividends; Cash Dividends.
2. Journalize the entries to record the transactions, and post to eight selected accounts.
3. Prepare a retained earnings statement for the year ended Dec. 31, 2008.
4. Prepare the Stockholders' Equity section of the Dec. 31, 2008 balance sheet.
|
Shawn regarding forming the project team
: 1. What advice do you give Shawn regarding forming the project team? 2. How should Shawn handle the situation where some team members possess far more experience managing these types of projects? 3. What are some ground rules that Shawn should consid..
|
|
What is shareholders equity
: Construct a balance sheet for Galactic Enterprises given the following data: What is shareholders’ equity?
|
|
Explain the importance of random sampling
: Explain the importance of random sampling
|
|
Key traits of a project manager
: What are the key traits of a project manager? Why is it more important for a project manager to be accountable than to be responsible? How can the project manager make sure the objectives are met? In your response, feel free to use an example from..
|
|
Prepare the stockholders equity section of the december
: Prepare a retained earnings statement for the year ended Dec. 31, 2008. Prepare the Stockholders' Equity section of the Dec. 31, 2008 balance sheet.
|
|
How much cash and marketable securities does it hold
: Airlux Antarctica has current assets of $430 million, current liabilities of $330 million and a cash ratio of 0.18. How much cash and marketable securities does it hold?
|
|
Describe a scenario that involves an ergonomic injury
: Using the Library or other Web resources, identify and describe a scenario that involves an ergonomic injury and determine guidelines to prevent further injuries in the work setting. Be sure to explain how the U.S. Department of Labor Occupationa..
|
|
What is the return on equity and return on assets
: Keller Cosmetics maintains an operating profit margin of 8.20% and a sales-to-assets ratio of 3.30. It has assets of $540,000 and equity of $340,000. Interest payments are $34,000 and the tax rate is 35%. What is the return on assets? What is the ret..
|
|
Pros and cons of alternative solution
: 1. A description of what you believe to be the key marketing issue(s)/challenge(s) facing this organization, and justification in 2-3 sentences 2. 2a.The pros and cons of alternative solution 1 to address these marketing issues/challenges.
|