Selected Dividend Transactions, Stock Split Selected transactions completed by Canyon Ferry Boating Corporation during the current fiscal
Question:
Selected Dividend Transactions, Stock Split
Selected transactions completed by Canyon Ferry Boating Corporation during the current fiscal year are as follows:
Journalize the transactions.
If no entry is required, type \"No Entry Required\" and leave the amount boxes blank. For a compound transaction, if an amount box does not require an entry, leave it blank.
Jan. 8. Split the common stock 2 for 1 and reduced the par from $48 to $24 per share. After the split, there were 87,000 common shares outstanding.
Jan. 8 | No Entry Required | | |
| No Entry Required | |
Feedback
Review the effect of stock splits on equity accounts.
Apr. 30. Declared semiannual dividends of $1.6 on 6,000 shares of preferred stock and $0.14 on the common stock payable on July 1.
Apr. 30 | Cash Dividends | | |
| Cash Dividends Payable | |
Feedback
When a company declares a dividend it becomes legally binding.
July 1. Paid the cash dividends.
July 1 | Cash Dividends Payable | | |
| Cash | |
Feedback
What are the stockholders\' receiving from the corporation?
Oct. 31. Declared semiannual dividends of $1.6 on the preferred stock and $0.12 on the common stock (before the stock dividend). In addition, a 2% common stock dividend was declared on the common stock outstanding. The fair market value of the common stock is estimated at $43.
Cash Dividends | Cash Dividends | | |
| Cash Dividends Payable | | |
Stock dividends | Stock Dividends | ||
| Stock Dividends Distributable | ||
| Paid-In Capital in Excess of Par-Common Stock |
Feedback
On the date of declaration of a cash dividend, it becomes legally binding. How do stock dividends affect stockholders\' equity?
Dec. 31. Paid the cash dividends and issued the certificates for the common stock dividend.
Payment | Cash Dividends Payable | | |
| Cash | | |
Issuance | Stock Dividends Distributable | | |
| Common Stock |
Corporate Financial Accounting
ISBN: 978-1133952411
12th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac