What is the amount of the dividend payable

Reference no: EM131911463

Problem

As of March 11, 2013, Swanson Group, Ltd. had 300,000 shares of $10 par value common stock authorized, and 185,000 shares issued. There were 6,000 shares of treasury stock that had been purchased by the firm at an average cost of $12. The market value of the stock on March 11, 2013 was $22.

a. How many shares of common stock are outstanding on March 11, 2013?

b. Assume that on March 11, 2013, the board of directors declared a cash dividend of $0.15 per share, payable on April 4, 2013, to stockholders of record on March 11, 2013. What is the amount of the dividend payable that would appear on the March 31, 2013, balance sheet?

c. Assume that instead of a cash dividend, the board of directors declared a 4% stock dividend. Calculate the amount of retained earnings that would be capitalized as a result of the stock dividend.

Reference no: EM131911463

Questions Cloud

What key project documents would be required : State your specific industry context. What key project documents would be required?

Develop an estimated monthly budget for the alternate : Develop plans for alternate site relocation, and develop an estimated monthly budget for the alternate site operations.

Different than the city of miami zoning regulations : Do you think it's fair that if you own one acre in a part of a City zoned for high density that you could build more units per acre

Journalize the adjusting entries required on march : Journalize the adjusting entries required on March 31. Refer to the Chart of Accounts for exact wording of account titles.

What is the amount of the dividend payable : As of March 11, 2013, Swanson Group, Ltd. had 300,000 shares. What is the amount of the dividend payable that would appear on the March 31, 2013, balance sheet?

Discuss the issue of securing backups : There have been several incidents lately in which backup media containing personal customer information were lost or stolen.

What should be done about the various incidents : Your boss mentions that recently a number of employees have received calls from individuals who didn't identify themselves and asked a lot of questions.

Business in cuba-united states : What is the difference between business in Cuba vs. the United States?

Effective in securing new business : Is a solicited or unsolicited proposal likely to be more effective in securing new business? Why is selecting the correct visual critical to the success of a re

User Account

All Pages