Prepare journal entries to record transactions, Accounting Basics

Assignment Help:

On January 1, 2012, Magnus Corporation had 60,000 shares of $1 par value common stock issued and outstanding. During the year, the following transactions occurred:

Mar. 1       Issued 25,000 shares of common stock for $550,000.
June 1       Declared a cash dividend of $2.00 per share to stockholders of record on June 15.
June 30     Paid the $2.00 cash dividend.
Dec. 1       Purchased 5,000 shares of common stock for the treasury for $22 per share.
Dec. 15      Declared a cash dividend on outstanding shares of $2.25 per share to stockholders of record on December 31.

Instructions

Prepare journal entries to record the above transactions.

 


Related Discussions:- Prepare journal entries to record transactions

Concept of flow of funds, Concept of Flow of Funds :  It refers to the 'Cha...

Concept of Flow of Funds :  It refers to the 'Change in Funds' or 'Change in Working Capital'.  That is, any increase or decrease in Working Capital. In business, daily, numerous t

The immediate and long-term effects of the two event, Your client, Hope, of...

Your client, Hope, of Hope's Country Corner, is curious about two events will influence both taxable and financial income. The first event involves the purchase of pottery-making e

Explain cash basis of accounting, Q. Explain cash basis of accounting? ...

Q. Explain cash basis of accounting? Professionals such as lawyers and physicians and some relatively small businesses may account for their revenues and expenses on a cash bas

Sales returns affect both revenues and cost of good, Q. Sales returns affec...

Q. Sales returns affect both revenues and cost of good? When a company sells merchandise to customers then it transfers the cost of the merchandise from an asset account that i

Approving an invoice for payment, What steps would you take before approvin...

What steps would you take before approving an invoice for payment? Ans) Following steps should be taken.. ? Certify the invoice once it is matched for checking any holds..

What is prepaid expense, Q. What is Prepaid expense? A prepaid expense ...

Q. What is Prepaid expense? A prepaid expense is an asset pending assignment to expense such as prepaid rent, prepaid insurance and supplies on hand. Note that the character of

Assess the solvency of a business, Identify and explain the two ratios that...

Identify and explain the two ratios that are used to assess the solvency of a business.

Find out debt to equity ratio, Current Assets are $70,000, non-current asse...

Current Assets are $70,000, non-current assets are $150,000, current liabilities are $40,000 and long term liabilties are $30,000. What is the debt to equity ratio? 0.47 Stock h

The bayside company uses the lifo cost flow method, The Bayside Company use...

The Bayside Company uses the LIFO cost flow method to value inventory. In the current year, profit at Bayside is running unusually high. The corporate tax rate is also high this ye

Full form of wcc, Full form= Winter compensation from contributions.

Full form= Winter compensation from contributions.

Write Your Message!

Captcha
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