Financial Accounting (12th Edition) (What's New in Accounting)
12th Edition
ISBN: 9780134725987
Author: C. William Thomas, Wendy M. Tietz, Walter T. Harrison Jr.
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Videos
Question
Chapter 10, Problem 10.10S
To determine
To journalize: The declaration and payment of dividend in the books of Corporation G.
To determine
Whether the retained earnings has increased or decreased during 2018.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Java Company earned net income of $85,000 during the year ended December 31, 2024. On December 15, Java declared the annual cash dividend on its 4% preferred stock (par value,
$120,000) and a $0.25 per share cash dividend on its common stock (50,000 shares). Java then paid the dividends on January 4, 2025.
Read the requirements.
Requirement 1. Journalize for Java the entry declaring the cash dividends on December 15, 2024. (Record debits first, then credits. Select the explanation on the last line of the journal
entry table.)
Date
2024
Dec. 15
Accounts and Explanation
Debit
Credit
Requirements
1. Journalize for Java the entry declaring the cash dividends on December 15,
2024.
2. Journalize for Java the entry paying the cash dividends on January 4, 2025.
X
Mocha Company earned net income of $110,000 during the year ended December 31, 2018. On December 15, Mocha declared the annual cash dividend on
its 3% preferred stock (par value, $125,000) and a $1.00 per share cash dividend on its common stock (62,000 shares). Mocha then paid the dividends on
January 4, 2019.
Read the requirements.
Requirement 1. Journalize for Mocha the entry declaring the cash dividends on December 15, 2018. (Record debits first, then credits. Select the explanation
on the last line of the journal entry table.)
Date
Accounts and Explanation
2018
Dec. 15
Debit
2019
Jan. 4.
Requirement 2. Journalize for Mocha the entry paying the cash dividends on January 4, 2019. (Record debits first, then credits. Select the explanation on
the last line of the journal entry table.)
Date
Accounts and Explanation
Credit
Debit
Credit
Madison Company earned net income of $75,000 during the year ended December 31, 2018. On December 20, Madison declared the annual cash dividend on its 8% preferred stock (par value, $150,000) and a $0.50 per share cash dividend on its common stock (45,000 shares). Madison then paid the dividends on January 10, 2019.
Prepare the journal entries to record the declaration and the distribution of the dividends.
Chapter 10 Solutions
Financial Accounting (12th Edition) (What's New in Accounting)
Ch. 10 - The two main categories of stockholders equity are...Ch. 10 - Prob. 2QCCh. 10 - Stockholders of a corporation directly elect the...Ch. 10 - The par value of a share of common stock a. is...Ch. 10 - Prob. 5QCCh. 10 - If a corporation issues 1,000 shares of 1 par...Ch. 10 - Prob. 7QCCh. 10 - Sandusky Corporation purchased 3,000 shares of its...Ch. 10 - Graves Corporation issued 50,000 shares of 1 par...Ch. 10 - Prob. 10QC
Ch. 10 - For cash dividends, the journal entry on the date...Ch. 10 - Prob. 12QCCh. 10 - Prob. 13QCCh. 10 - Prob. 14QCCh. 10 - Prob. 15QCCh. 10 - Prob. 16QCCh. 10 - Prob. 10.1ECCh. 10 - Prob. 10.1SCh. 10 - (Learning Objective 1: Describe characteristics of...Ch. 10 - Prob. 10.3SCh. 10 - Prob. 10.4SCh. 10 - (Learning Objective 2: Record issuance of stock...Ch. 10 - Prob. 10.6SCh. 10 - Prob. 10.7SCh. 10 - Prob. 10.8SCh. 10 - Prob. 10.9SCh. 10 - Prob. 10.10SCh. 10 - (Learning Objective 4: Divide cash dividends...Ch. 10 - Prob. 10.12SCh. 10 - (Learning Objective 6: Prepare the stockholders...Ch. 10 - (Learning Objective 5: Use stockholders equity...Ch. 10 - (Learning Objective 5: Calculate book value per...Ch. 10 - (Learning Objective 5: Calculate and explain...Ch. 10 - (Learning Objective 5: Calculate return on assets...Ch. 10 - Prob. 10.18SCh. 10 - (Learning Objective 2. 5: Define and use various...Ch. 10 - Prob. 10.20SCh. 10 - Prob. 10.21SCh. 10 - Prob. 10.22SCh. 10 - (Learning Objective 1: Identify key terms...Ch. 10 - (Learning Objectives 2, 6: Account for issuance of...Ch. 10 - Prob. 10.25AECh. 10 - Prob. 10.26AECh. 10 - Prob. 10.27AECh. 10 - (Learning Objective 3: Account for the purchase...Ch. 10 - (Learning Objectives 2, 3, 4: Account for issuance...Ch. 10 - (Learning Objective 6: Report stockholders equity...Ch. 10 - Prob. 10.31AECh. 10 - LO 4 (Learning Objective 4: Calculate dividends on...Ch. 10 - Prob. 10.33AECh. 10 - Prob. 10.34AECh. 10 - LO 5 (Learning Objective 5: Calculate and...Ch. 10 - LO 4,6 (Learning Objective 4, 6: Analyze...Ch. 10 - (Learning Objective 5: Evaluate profitability)...Ch. 10 - Prob. 10.38AECh. 10 - LO 6 (Learning Objective 6: Use a companys...Ch. 10 - (Learning Objective 1: Identify key terms...Ch. 10 - (Learning Objectives 2, 6: Account for issuance of...Ch. 10 - Prob. 10.42BECh. 10 - Prob. 10.43BECh. 10 - (Learning Objectives 3, 6: Show how treasury stock...Ch. 10 - (Learning Objective 3: Account for the purchase...Ch. 10 - (Learning Objectives 2, 3, 4: Account for issuance...Ch. 10 - Prob. 10.47BECh. 10 - Prob. 10.48BECh. 10 - Prob. 10.49BECh. 10 - Prob. 10.50BECh. 10 - (Learning Objectives 2, 3, 4: Measure the effect s...Ch. 10 - Prob. 10.52BECh. 10 - (Learning Objective 5: Analyze alternative plans...Ch. 10 - (Learning Objective 5: Evaluate profitability)...Ch. 10 - Prob. 10.55BECh. 10 - Prob. 10.56BECh. 10 - Prob. 10.57QCh. 10 - Prob. 10.58QCh. 10 - Prob. 10.59QCh. 10 - Prob. 10.60QCh. 10 - Prob. 10.61QCh. 10 - Prob. 10.62QCh. 10 - Prob. 10.63QCh. 10 - Prob. 10.64QCh. 10 - Quill Corporation paid 28 per share to purchase...Ch. 10 - Prob. 10.66QCh. 10 - Prob. 10.67QCh. 10 - Prob. 10.68QCh. 10 - Prob. 10.69QCh. 10 - Prob. 10.70QCh. 10 - Prob. 10.71QCh. 10 - Prob. 10.72QCh. 10 - Prob. 10.73QCh. 10 - Prob. 10.74QCh. 10 - Prob. 10.75QCh. 10 - Prob. 10.76APCh. 10 - (Learning Objective 6: Report stockholders equity)...Ch. 10 - (Learning Objectives 2, 4: Analyze stockholders...Ch. 10 - (Learning Objectives 2, 3, 4: Account for stock...Ch. 10 - Prob. 10.80APCh. 10 - Prob. 10.81APCh. 10 - Prob. 10.82APCh. 10 - Prob. 10.83APCh. 10 - Prob. 10.84BPCh. 10 - Prob. 10.85BPCh. 10 - (Learning Objectives 2, 4: Analyze stockholders...Ch. 10 - (Learning Objectives 2, 3, 4: Account for stock...Ch. 10 - Prob. 10.88BPCh. 10 - Prob. 10.89BPCh. 10 - (Learning Objective 5: Differentiate financing...Ch. 10 - Prob. 10.91BPCh. 10 - Prob. 10.92CEPCh. 10 - Prob. 10.93CEPCh. 10 - Prob. 10.94CEPCh. 10 - Prob. 10.95CEPCh. 10 - (Learning Objectives 2, 3, 4, 6: Analyze...Ch. 10 - (Learning Objectives 2, 3, 4: Calculate impact of...Ch. 10 - Prob. 10.98DCCh. 10 - Prob. 10.99DCCh. 10 - Prob. 10.100EICCh. 10 - Prob. 10.101EICCh. 10 - (Learning Objectives 2, 3, 4, 5: Analyze common...Ch. 10 - (Learning Objectives 2, 3, 4: Analyze treasury...
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- The board of directors of Ayayai Corp. declared a cash dividend of $1.50 per share on 40000 shares of common stock on July 15, 2020. The dividend is to be paid on August 15, 2020, to stockholders of record on July 31, 2020. The correct entry to be recorded on July 15, 2020, will include a OOO O credit to Cash Dividends. credit to Cash. debit to Dividends Payable. debit to Cash Dividends.arrow_forwardDuring the first year Zidux corp issued 80,000 shares of $4 par value common stock at a price of $50 cash per share. Zidux Corp was organized on January 2, 2018. On December 31, 2018: Net Income = $350,000 Cash Dividends paid= $70,000 Find the amount Zidux will report on its year end Balance Sheet for Paid in Capital Common Stock in Excess to par.arrow_forwardTowson Corp., was organized on January 2, 2018. During the first year of operation, Towson issued 60,000 shares of $2 par value common stock at a price of $50 cash per share. On December 31, 2018, Towson reported Net Income of $250,000 and paid $50,000 cash dividends. Use this information to determine the dollar amounts that Towson will report on its year end Balance Sheet for Paid in Capital Common Stock in Excess to par.arrow_forward
- FV Company earned net income of $75,000 during the year ended December 31, 2012. On December 15, FV declared the annual cash dividend on its 5% preferred stock (par value, $115,000) and a $0.50 per share cash dividend on its common stock (55,000 shares). FV then paid the dividends on January 4, 2013. 54 Requirements 1. Journalize for FV: 2. Declaring the cash dividends on December 15, 2012. 3. Paying the cash dividends on January 4, 2013.arrow_forwardDuring 2020, Road Pavement Corp. engaged in the following selected transactions: Jan 01: Issued 25,000 shares of $3 par value common stock at $7 per share. Jun 15: Re-acquired 1,000 shares of common stock sold in Jan for $5 per share. Aug 10: Sold 400 shares of the re-acquired common stock purchased in June for $8 per share. Sept 30: The Board of Directors declared and recorded a cash dividend of $0.30 per share outstanding to its share holders. Nov 30: Paid the cash dividend declared in September. Dec 15: Issued another 5,000 shares of common stock at $10 per share. Required: (a) Record the Journal Entries for the above transactions: (b) Prepare the Stockholders Equity Section of the Balance Sheet if the Retained Earnings at the end of the year has a balance of $95,000.arrow_forwardOn January 1, 2020, Triad 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. Prepare journal entries to record the above transactions. (If no entry is required, select "No entry" for the account titles and enter O for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually) Account Titles and Explanation Date Mar. 1 Debit Creditarrow_forward
- Roberto Corporation was organized on January 1, 2018. The firm was authorized to issue 100,000 shares of $5 par common stock. During 2018, Roberto had the following transactions relating to shareholders' equity: • Issued 10,000 shares of common stock at $7 per share. • Issued 20,000 shares of common stock at $8 per share. • Reported a net income of $100,000. • Paid dividends of $50,000. • Purchased 3,000 shares of treasury stock at $10 (part of the 20,000 shares issued at $8). What is total shareholders' equity at the end of 2018?arrow_forwardOn January 1, 2020 ,Herron Corporation purchased 5,000 shares of treasury stock. Other information regarding Herron Corporation is provided as follows. Compute (a) return on common stockholders' equity for each year, and (b) discuss the changes in each. 2018 2017 Net income $100,000 $110,000 Dividends on preferred stock $ 30,000 $ 30,000 Dividends on common stock $ 25,000 $ 15,000 Weighted-average number of common shares outstanding 45,000 50,000 Common stockholders' equity beginning of year $750,000 $685,000 Common stockholders' equity end of year $795000 $750,000arrow_forward2) Jameson Company earned net income of $75,000 during the year ended December 31, 2018. On December 20, Jameson declared the annual cash dividend on its 8% noncumulative preferred stock (par value, $150,000) and a $0.50 per share cash dividend on its common stock (45,000 shares). Jameson then paid the dividends on January 10, 2019. Prepare the journal entries to record the declaration and the distribution of the dividends.arrow_forward
- Adham Corporation was organized on January 1, 2019. During its first year, the corporation issued 40,000 shares of $50 par value preferred stock and 200,000 shares of $5 par value common stock. At December 31, the company declared the following cash dividends: December2017 $90,000 December2018 200,000 December2019 300,000 Required: 1. Show the allocation of dividends to each class of stock, assuming that the preferred stock is 9% and not cumulative. 2. Show the allocation of dividends to each class of stock, assuming that the preferred stock is 10% and cumulative.arrow_forwardPresented below is information related to Alligator Corporation for 2019. 1. On March 1, Alligator Corporation issued 95,000 shares (authorized to issue 1,000,000 shares of $10 par value, Issued 100,000 shares till February, 2019) of common stock at $30 per share. 2. A dividend is declared on May 1, 2010, and paid on May 27, 2019, in equity held as an investment. The equity have a book value of $150,000 and a fair value of $190,000. 3. On June 1, Alligator Corporation replaced one of its’ used machines costed $200,000 with an accumulated depreciation of $110,000 with Labor company and received additional $27,000 cash. Fair value of Alligator’s machine at the time of exchange was $105,000. The cost, accumulated depreciation and fair value of Labor Company’s machine at the time of exchange were $125,000, $45,000 and $78,000 respectively. The exchange lacks commercial substance for both the parties. 4. On September 4, Alligator Corporation sold the 1,000 treasury shares that they had…arrow_forwardThe board of directors of Tamarisk, Inc. declared a cash dividend of $1.95 per share on 33000 shares of common stock on July 15, 2020. The dividend is to be paid on August 15, 2020, to stockholders of record on July 31, 2020. The correct entry to be recorded on August 15, 2020, will include a O debit to Cash Dividends. O debit to Dividends Payable. O credit to Cash Dividends. O credit to Dividends Payable.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Intermediate Accounting: Reporting And AnalysisAccountingISBN:9781337788281Author:James M. Wahlen, Jefferson P. Jones, Donald PagachPublisher:Cengage Learning
Excel Applications for Accounting PrinciplesAccountingISBN:9781111581565Author:Gaylord N. SmithPublisher:Cengage Learning
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Cengage Learning
Dividend explained; Author: The Finance Storyteller;https://www.youtube.com/watch?v=Wy7R-Gqfb6c;License: Standard Youtube License