Question: Stockholders equity of Ernst Company consists of 80 000 shares of
Stockholders’ equity of Ernst Company consists of 80,000 shares of $ 5 par value, 8% cumulative preferred stock and 250,000 shares of $ 1 par value common stock. Both classes of stock have been outstanding since the company’s inception. Ernst did not declare any dividends in the prior year, but it now declares and pays a $ 110,000 cash dividend at the current year- end. Determine the amount distributed to each class of stockholders for this two- year- old company.
Answer to relevant QuestionsOn May 3, Zirbal Corporation purchased 4,000 shares of its own stock for $ 36,000 cash. On November 4, Zirbal reissued 850 shares of this treasury stock for $ 8,500. Prepare the May 3 and November 4 journal entries to record ...The stockholders’ equity section of Montel Company’s balance sheet follows. The preferred stock’s call price is $ 40. Determine the book value per share of the common stock.Preferred stock— 5% cumulative, $ 10 par ...On October 10, the stockholders’ equity of Sherman Systems appears as follows:Common stock—$ 10 par value, 72,000 shares authorized, issued, and outstanding . . . . . . . . . . . . . . . . . . $ 720,000 Paid- in ...Alexander Corporation reports the following components of stockholders’ equity on December 31, 2013:Common stock—$ 25 par value, 50,000 shares authorized, 30,000 shares issued and outstanding . . . . . . . . . . . . . . ...The equity sections from Hovo Corporation’s 2013 and 2014 balance sheets follow.Stockholders’ Equity (December 31, 2013) Common stock—$ 20 par value, 30,000 shares authorized, 17,000 shares issued and outstanding . . . ...
Post your question