1. Record the transactions in Dearborn's general journal. 2. Prepare the Dearborn's stockholders' equity section of...

   

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1. Record the transactions in Dearborn's general journal. 2. Prepare the Dearborn's stockholders' equity section of the balance sheet as of December 31, 2016. Assume that Dearborn was authorized to issue 2,200 shares of preferred stock and 400,000 shares of common stock. Both preferred stock and common stock were issued at par. The ending balance of retained earnings as of December 31, 2016, is $2,050,000. Balance sheet December 31, 2016 Stockholders' Equity Paid-In Capital: Total Paid-In Capital Total Stockholders' Equity More Info 16 Declared a cash dividend on the 6%, $97 par noncumulative preferred stock (1,150 shares outstanding). Declared a $0.50 per share dividend on the 90,000 shares of $6 par value common stock outstanding. The date of record is January 31, and the payment date is February 15. 15 Paid the cash dividends. Jan. Feb. Jun. 10 Split common stock 2-for-1. Jul. 30 Declared a 50% stock dividend on the common stock. The market value of the common stock was $9 per share. Aug. Oct. 15 Distributed the stock dividend. 26 Purchased 1,000 shares of treasury stock at $8 per share. 8 Sold 500 shares of treasury stock for $10 per share. 30 Sold 300 shares of treasury stock for $4 per share. Nov. Print Done 1. Record the transactions in Dearborn's general journal. 2. Prepare the Dearborn's stockholders' equity section of the balance sheet as of December 31, 2016. Assume that Dearborn was authorized to issue 2,200 shares of preferred stock and 400,000 shares of common stock. Both preferred stock and common stock were issued at par. The ending balance of retained earnings as of December 31, 2016, is $2,050,000. Balance sheet December 31, 2016 Stockholders' Equity Paid-In Capital: Total Paid-In Capital Total Stockholders' Equity More Info 16 Declared a cash dividend on the 6%, $97 par noncumulative preferred stock (1,150 shares outstanding). Declared a $0.50 per share dividend on the 90,000 shares of $6 par value common stock outstanding. The date of record is January 31, and the payment date is February 15. 15 Paid the cash dividends. Jan. Feb. Jun. 10 Split common stock 2-for-1. Jul. 30 Declared a 50% stock dividend on the common stock. The market value of the common stock was $9 per share. Aug. Oct. 15 Distributed the stock dividend. 26 Purchased 1,000 shares of treasury stock at $8 per share. 8 Sold 500 shares of treasury stock for $10 per share. 30 Sold 300 shares of treasury stock for $4 per share. Nov. Print Done

Answer rating: 100% (QA)

Date Accounts Debit Credit Jan 16 Cash Dividend 51693 Dividend PayableCommon 45000 9000005 Dividend ... View the full answer