Given the following information for Company G at 1/1/16: Retained earnings at 1/1/16 were $800,000. Common...

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Given the following information for Company G at 1/1/16: Retained earnings at 1/1/16 were $800,000. Common stock at 1/1/16 was $ 300,000. Additional Paid-in Capital at 1/1/16 was $900,000. The description of the common stock at 1/1/16 was: $10 par value, 100,000 shares authorized, 30,000 shares issued and outstanding. During 2016 (its second year), Company G had the following activity: 1. The income statement reflected net income of $200,000 for the year ended 12/31/16. 2. Cash dividends of $1 per share were declared and paid to the common shareholders in February of 2016. 3. On June 1, 2016, Company G declared a 100% stock dividend. 4. On July, 1, 2016, Company G distributed the 100% stock dividend. 5. On September 1 of 2016, Company G repurchased 2,000 shares of its own stock at $25 per share. Company G uses the cost method to account for treasury stock transactions. 6. On December 1 of 2016, Company G reissued 600 shares of the treasury stock at $22 per share. A. On the answer sheet, prepare journal entries for Items 2 - 6 above. B. On the answer sheet, complete the Statement of Stockholders' Equity for Items 1-6 above. C. On the answer sheet, complete the Stockholders' Equity section of the balance sheet at December 31, 2016, including the appropriate description for the common stock and treasury stock. B. 2016 Begin. 1. Net Inc. 2. Cash Div 3. Stock Div. 4. Stock Div. 5. TS Statement of Stockholders' Equity CS APIC-CS RE Common Stock Additional Paid-in Capital - Common Stock Retained Earnings APIC-TS 6. TS 2016 Ending C. Stockholders' Equity Section of the Balance Sheet - complete this section, with correct amounts and descriptions (see Class Notes and P15-3 for description of common stock): Treasury Stock Total Stockholders' Equity TS CS Dividend Distributable $ $ Given the following information for Company G at 1/1/16: Retained earnings at 1/1/16 were $800,000. Common stock at 1/1/16 was $ 300,000. Additional Paid-in Capital at 1/1/16 was $900,000. The description of the common stock at 1/1/16 was: $10 par value, 100,000 shares authorized, 30,000 shares issued and outstanding. During 2016 (its second year), Company G had the following activity: 1. The income statement reflected net income of $200,000 for the year ended 12/31/16. 2. Cash dividends of $1 per share were declared and paid to the common shareholders in February of 2016. 3. On June 1, 2016, Company G declared a 100% stock dividend. 4. On July, 1, 2016, Company G distributed the 100% stock dividend. 5. On September 1 of 2016, Company G repurchased 2,000 shares of its own stock at $25 per share. Company G uses the cost method to account for treasury stock transactions. 6. On December 1 of 2016, Company G reissued 600 shares of the treasury stock at $22 per share. A. On the answer sheet, prepare journal entries for Items 2 - 6 above. B. On the answer sheet, complete the Statement of Stockholders' Equity for Items 1-6 above. C. On the answer sheet, complete the Stockholders' Equity section of the balance sheet at December 31, 2016, including the appropriate description for the common stock and treasury stock. B. 2016 Begin. 1. Net Inc. 2. Cash Div 3. Stock Div. 4. Stock Div. 5. TS Statement of Stockholders' Equity CS APIC-CS RE Common Stock Additional Paid-in Capital - Common Stock Retained Earnings APIC-TS 6. TS 2016 Ending C. Stockholders' Equity Section of the Balance Sheet - complete this section, with correct amounts and descriptions (see Class Notes and P15-3 for description of common stock): Treasury Stock Total Stockholders' Equity TS CS Dividend Distributable $ $

Answer rating: 100% (QA)

A Journal entries for items 26 Event Date Account Title and Explanation Debit Credit 2 Feb16 Dividen... View the full answer