The balance sheet of Recreation, Inc., at December 31, 2017, reported 500,000 shares of $1 par...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The balance sheet of Recreation, Inc., at December 31, 2017, reported 500,000 shares of $1 par common stock authorized with 100,000 shares issued and outstanding. Paid-in capital in excess of par-common had a balance of $290,000. Retained earnings had a balance of $106,000. During 2018, the company completed the following selected transactions: (Click the icon to view the transactions.) Read the requirements. More info Feb 15 Purchased 9,000 shares of treasury stock at $8 per share. Mar 8 Sold 8,000 shares of treasury stock for $9 per share. Sep 28 Declared and distributed a 15% stock dividend on the 99,000 shares of outstanding common stock. The market value of Recreation's common stock was $13 per share. 1. Record the transactions in the journal. Explanations are not required. 2. Prepare the stockholders' equity section of the balance sheet at December 31, 2018, assuming the company earned $111,000 of net income during the year. The balance sheet of Recreation, Inc., at December 31, 2017, reported 500,000 shares of $1 par common stock authorized with 100,000 shares issued and outstanding. Paid-in capital in excess of par-common had a balance of $290,000. Retained earnings had a balance of $106,000. During 2018, the company completed the following selected transactions: (Click the icon to view the transactions.) Read the requirements. More info Feb 15 Purchased 9,000 shares of treasury stock at $8 per share. Mar 8 Sold 8,000 shares of treasury stock for $9 per share. Sep 28 Declared and distributed a 15% stock dividend on the 99,000 shares of outstanding common stock. The market value of Recreation's common stock was $13 per share. 1. Record the transactions in the journal. Explanations are not required. 2. Prepare the stockholders' equity section of the balance sheet at December 31, 2018, assuming the company earned $111,000 of net income during the year.
Expert Answer:
Answer rating: 100% (QA)
The detailed answer for the above question is provided below Journal Entries Feb 15 Treasury ... View the full answer
Related Book For
Intermediate Accounting Reporting and Analysis
ISBN: 978-1285453828
2nd edition
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach
Posted Date:
Students also viewed these accounting questions
-
Calculate firm inventory turnover ratio. ASSETS Cash Accounts Receivable Inventory Net Plant and Equipment Total Assets Balance Sheet As of December 31, 2007 Long-Term debt Common Stock LIABILITIES...
-
The following questions are used in the Kaplan CPA Review Course to study shareholders' equity while preparing for the CPA examination. Determine the response that best completes the statements or...
-
The stockholders' equity section on the balance sheet of Dillard's, a popular department store, is shown below. During the year, the company reported net income of $463,909,000 and declared and paid...
-
Why is it helpful to understand leadership as a theory while managing a healthcare-orientated organization? Justify your stance using two examples. What factors do you think should appear in a model...
-
A sign (mass 2100kg) hangs from the end of a vertical steel girder with a cross-sectional area of 0.15m2. (a) What is the stress within the girder? (b) What is the strain on the girder? (c) If the...
-
Two forces are applied to an eye bolt fastened to a beam. Determine graphically the magnitude and direction of their resultant using (a) The parallelogram law, (b) The triangle rule. 5 kN 25 50 S kN
-
Suppose Bonzai Boards, Inc., had sales of \($210,000\) and sales returns of \($18,000.\) Cost of goods sold was \($125,000.\) What was Bonzai Boards gross profit percentage (rounded) for this period?...
-
Green rented an apartment from Stockton Realty. The three-story building had a washroom and clothesline on the roof for use by the tenants. The clothesline ran very near the skylight, and there was...
-
If x + y dy dt = == 8, and dx dy == -2 when x = 2 and y = 2, what is when x = 2 and y = 2? dt dt
-
Chris, a local baker, is interested in opening her very own Cupcake Cafebut to make it worth her while she needs to earn at least $35,000 per year in profit from all segments. She's lucked out and...
-
(a) Highlight is an entity whose functional currency is the dollar ($) and has an annual reporting date of 31 December. On 1 July 20X3, Highlight purchased an item of plant and equipment on credit...
-
Find the derivative of the function. _y = 5x2 - 6x - 4x-2 dx 11
-
Assume that Korvar Plastics Inc., a manufacturer of plastic pipe for the construction industry and located in Red Deer, Alberta, faced the following liability situations at June 3 0 , 2 0 2 0 , the...
-
Our survey indicates that in the past three months, employees' ability to self-identify personal strengths and weaknesses has improved 12 percent. [2] Initial Data Analysis indicates that the ability...
-
4. Write a program in java to implement the single source shortest Path Algorithm(Dijktra's Algorithm ). S A ( 3 B D 2 1 E
-
Discuss the works of the following on scholars in political sociology Antonio Gramsci Max weber Robert Michelle
-
A dentist's lamp has a visible light luminosity of 1.1 joules per second. If the lamp is moved to a distance of X meters away from a patient's teeth, what is the flux of the lamp on the teeth? Then,...
-
Write the statement to store the contents of the txtAge control in an Integer variable named intAge.
-
For the year ended December 31, 2016, Nelson Co. s income statement showed income of $ 435,000 before income, tax expense. To compute taxable income, the following differences were noted: Income from...
-
Short-Term Debt Expected to Be Refinanced While examining the 2016 financial statements of Warder Corporation, you found evidence that the following were not included in its current liabilities on...
-
Hemingway Company purchases equipment by issuing a 7- year, $ 350,000 non- interest- bearing note, when the market rate for this type of note is 10%. Hemingway will pay off the note with equal...
-
Find the free-vibration response of the spring-mass system shown in Fig. 6.6 (a) for \(k_{1}=k, k_{2}=2 k, k_{3}=3 k, m_{1}=m, m_{2}=2 m\), and \(m_{3}=3 m\) corresponding to the initial conditions...
-
Find the free-vibration response of the tightly stretched string shown in Fig. 6.33 for \(m_{1}=2 m, m_{2}=m, m_{3}=3 m\), and \(l_{i}=l(i=1,2,3,4)\). Assume the initial conditions as...
-
Find the free-vibration response of the triple pendulum shown in Fig. 6.10 for \(l_{i}=l(i=1,2,3)\) and \(m_{i}=m(i=1,2,3)\) for the initial conditions \(\theta_{1}(0)=\theta_{2}(0)=0\),...
Study smarter with the SolutionInn App