Reference no: EM132683444

Problem - Selected Dividend Transactions and Stock Split

Selected transactions completed by Gene's Boating Corporation during the current fiscal year are as follows:

Feb. 10. Split the common stock 3 for 1 and reduced the par from $60 to $20 per share. After the split, there were 300,000 common shares outstanding.

May 1. Declared semiannual dividends of $2.00 on 40,000 shares of preferred stock and $0.12 on the common stock payable on June 15.

June 15. Paid the cash dividends.

Nov. 1. Declared semiannual dividends of $2.00 on the preferred stock and $0.08 on the common stock (before the stock dividend). In addition, a 2% common stock dividend was declared on the common stock outstanding. The fair market value of the common stock is estimated at $28.

Dec. 15. Paid the cash dividends and issued the certifi cates for the common stock dividend.

Journalize the transactions.