Situation: Monsanto Corporation was incorporated in 2021. During 2021, the company issued 100,000 shares of $1...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Situation: Monsanto Corporation was incorporated in 2021. During 2021, the company issued 100,000 shares of $1 par value common stock for $27 per share. During 2022, the company had the following transactions. Note: Nothing is required by the student for this section. Date 1/2/22 3/1/22 Transaction Issued 10,000 shares of $100 par value cumulative preferred stock at par. The preferred stock was convertible into 5 shares of common stock and had a dividend rate of 6%. Issued 3,000 shares of common stock for legal services performed. The stock was actively traded on a major exchange and had a fair value on 3/1/22 at $42 per share. 7/1/22 Issued 40,000 shares of common stock for $42 per share. 10/1/22 Repurchased 16,000 shares of treasury stock for $34 per share using the cost method to account for the acquisition. 12/1/22 Sold 6,000 shares of treasury stock for $29 per share. 12/30/22 Declared and paid a dividend of $0.20 per common share and a 6% dividend on the preferred shares. During 2021, Monsanto Corporation had net income of $228,000 and paid dividends of $28,000. During 2022, Monsanto had net income of $400,000. Balance Sheet Disclosures: Prepare the stockholders' equity section of the balance sheet at EOY 2022 by completing the following schedule (EOY amounts). Stockholder's Equity Accounts Preferred Stock PIC-PS Common Stock PIC-CS Retained Earnings Treasury Stock PIC-TS Total Stockholder's Equity EOY 2022 Amount Situation: Monsanto Corporation was incorporated in 2021. During 2021, the company issued 100,000 shares of $1 par value common stock for $27 per share. During 2022, the company had the following transactions. Note: Nothing is required by the student for this section. Date 1/2/22 3/1/22 Transaction Issued 10,000 shares of $100 par value cumulative preferred stock at par. The preferred stock was convertible into 5 shares of common stock and had a dividend rate of 6%. Issued 3,000 shares of common stock for legal services performed. The stock was actively traded on a major exchange and had a fair value on 3/1/22 at $42 per share. 7/1/22 Issued 40,000 shares of common stock for $42 per share. 10/1/22 Repurchased 16,000 shares of treasury stock for $34 per share using the cost method to account for the acquisition. 12/1/22 Sold 6,000 shares of treasury stock for $29 per share. 12/30/22 Declared and paid a dividend of $0.20 per common share and a 6% dividend on the preferred shares. During 2021, Monsanto Corporation had net income of $228,000 and paid dividends of $28,000. During 2022, Monsanto had net income of $400,000. Balance Sheet Disclosures: Prepare the stockholders' equity section of the balance sheet at EOY 2022 by completing the following schedule (EOY amounts). Stockholder's Equity Accounts Preferred Stock PIC-PS Common Stock PIC-CS Retained Earnings Treasury Stock PIC-TS Total Stockholder's Equity EOY 2022 Amount
Expert Answer:
Answer rating: 100% (QA)
Transaction Date 0101Y2 Beginning Balance 0102Y2 Issued Preferred stock at p... View the full answer
Related Book For
Management of Information Security
ISBN: 978-1285062297
4th Edition
Authors: Michael E. Whitman, Herbert J. Mattord
Posted Date:
Students also viewed these accounting questions
-
To what extent do you agree or disagree with the following statement? "An important top-management job is to make certain their company's actual growth rate and sustainable growth rate are as close...
-
To what extent do you agree or disagree with the following statement: "Strikes are an intricate and essential element of the collective bargaining process." Explain your reasoning?
-
Write a response on whether you agree or disagree with the following statement: The field of psychology has little to say or do about the issue of poverty.
-
In Exercises determine whether Rolle's Theorem can be applied to on the closed interval [a, b]. If Rolle's Theorem can be applied, find all values of c in the open interval (a, b) such that '(c) =...
-
For the data given in Problem 4 in Chapter 8 (plus the accompanying computer output), find (using = .10) the best regression model relating homicide rate (Y) to population size (X1), percentage of...
-
In Problems 1328, use properties of logarithms to find the exact value of each expression. Do not use a calculator. log2 6.log6 8
-
Under the assumptions of the linear model, the values of y|x follow a _______________ . In Exercises 7 and 8, fill in each blank with the appropriate word or phrase.
-
Inge Inspections Inc. specializes in determining whether a building or house's drainpipes are properly tied into the city's sewer system. The company pours colored chemical through the pipes and...
-
Damien Mellick and Hemi Nikora share a small apartment over a commercial shopfront in Albany, New Zealand, only a short walk from the post office. Hemi works part-time as an IT consultant for a local...
-
The bank reconciliation prepared by Village-on-the-Lake Condos on May 31, 2020, is shown below: The Cash account in the general ledger appeared as follows on June 30: A list of deposits made and...
-
Ella as a kid, was always told she could grow up to be anything she wanted to be. She served in the air force and earned a couple of degrees. However, she started to withdraw when she noticed her...
-
Powlowski is currently considering investing in "Machine A" that will enable greater manufacturing efficiency. The machine is expected to have a useful life of 10 years, a salvage value of $5,000,...
-
ed At the beginning of Year 2, the accounting records of Grace Company included the accounts and balances shown on the first row of the table below. During Year 2, the following transactions...
-
Our company makes and sells a single product. We are currently working on our 2021 budgets. We started by estimating unit sales (data for January - April is below; March unit sales intentionally...
-
A faction of Americans protested against accepting minors into the country because of the potential burden and threat that the newcomers might pose to local communities. Do you think there are limits...
-
Congress has used both "carrots" and "sticks" to encourage greater investment in pediatric drug research. What legislation can be described as a "carrot"? What legislation can be described as a...
-
How do technological advancements, such as online dispute resolution platforms and virtual mediation tools, transform the landscape of conflict resolution, and what considerations arise regarding...
-
Havel says the grocer doesnt believe what is on the sign and indeed, he says the grocers customers will barely notice it. But Havel maintains that the sign serves a specific function. How would you...
-
What is the most widely accepted biometric authorization technology? Why?
-
Who are stakeholders ? Why is it important to consider their views when planning?
-
Thanks, that was very helpful, Mike Edwards said to the attorney from the corporate legal office, whod just given a presentation on the newly enacted state computer crime and privacy law. So, when...
-
Prove that the constant \(a\) in Eq. (8.82) is positive for common boundary conditions. c dW(x) W(x) dx4 = 1 dT(t) T(t) dt = a = w (8.82)
-
Find the response of a simply supported beam subject to a uniformly distributed harmonically varying load.
-
A cantilever beam of length \(l\), density \(ho\), Young's modulus \(E\), area of cross section \(A\), and area moment of inertia \(I\) carries a concentrated mass \(M\) at its free end. Derive the...
Study smarter with the SolutionInn App