GL1101 - Based on Problem 11-2A LO C3, P2, P3 Lafayette Company reports the following components of stockholders' equity on January 1. Common stock-$10 par value, 130,000 shares authorised, 50,000 shares issued and outstanding Paid-in capital in excess of par value, comon stock Retained earnings Total stockholders' equity $ 500,000 75,000 410,000 $985,000 During the year, the following transactions affected its stockholders' equity accounts. Jan. 2 Purchased 5,000 shares of its own stock at $23 cash per share. Jan. 5 Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record. Feb. 28 Paid the dividend declared on January 5. July 6 Sold 1,900 of its treasury shares at $27 cash per share. Aug. 22 Sold 3,100 of its treasury shares at $20 cash per share. Sept. 5 Directors declared a $2 per share cash dividend payable on October 28 to the September 25. stockholders of record Oct. 28 Paid the dividend declared on September 5. Dec. 31 Closed the $270,000 credit balance (from net income in the Income Summary account to Retained Earnings. es Requirement General General Journal Impact on Ledger Trial Balance Statement of Stockholders Equity Equity During the year, the following transactions affected its stockholders' equity accounts. Prepare the necessary journal entries. If no journal entry is required, select "No journal entry required in the first input box View transaction list View Journal entry worksheet No 1 Date Jan 02 Credit Account Title Treasury stock, Common Cash Debit 115,000 115,000 2 Jan 05 90,000 Retained earnings Common dividend payable 90,000 3 Feb 28 90,000 Common dividend payable Cash 90,000 Prov 1 of 1 Next During the year, the following transactions affected its stockholders' equity accounts. Prepare the necessary Journal entries. If no journal entry is required, select "No journal entry required" in the first input box. No Date Account Title Debit Credit 1 Jan 02 Treasury stock, Common Cash 115,000 115,000 2 Jan 05 Retained earnings Common dividend payable 90,000 90,000 Feb 28 Common dividend payable Cash 90,000 90,000 4 Jul 06 51,300 Cash Treasury stock, Common Paid-in capital, Treasury stock IO 43,700 7,600 5 Aug 22 Cash 62.000 Treasury stock, Common Paid-in capital, Treasury stock 43,700 9,300 6 Sep 05 Retained earnings Common dividend payable 100,000 100,000 7 Oct 28 Common dividend payable Cash 100,000 100,000 8 Dec 31 Income summary Retained earnings 270,000 270,000 Total stockholders' equity SAVU $985,000 During the year, the following transactions affected its stockholders' equity accounts. Jan. 2 Purchased 5,000 shares of its own stock at $23 cash per share. Jan. 5 Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockholders of record. Feb. 28 Paid the dividend declared on January 5. July 6 Sold 1,900 of its treasury shares at $27 cash per share. Aug. 22 Sold 3,100 of its treasury shares at $20 cash per share. Sept. 5 Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. 28 Paid the dividend declared on September 5. 31 closed the $270,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Oct. Dec. Answer is not complete. General General Statement of Stockholders Requirement Journal Impact on Ledger Trial Balance RE Equity Equity Prepare the Statement of Retained Earnings for Lafayette Corporation for the year ended December 31. LAFAYETTE CORPORATION Statement of Retained Earnings For Year Ended December 31 0 Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity 75,000 410,000 $ 985,000 During the year, the following transactions affected its stockholders' equity accounts. Jan. Jan. Feb. July Aug. Sept. 2 Purchased 5,000 shares of its own stock at $23 cash per share. 5 Directors declared a $2 per share cash dividend payable on February 28 to the February 5 stockhol record. 28 Paid the dividend declared on January 5. 6 Sold 1,900 of its treasury shares at $27 cash per share. 22 Sold 3,100 of its treasury shares at $20 cash per share. 5 Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockho record. 28 Paid the dividend declared on September 5. 31 closed the $270,000 credit balance (from net income) in the Income Summary account to Retained Ear Oct. Dec. Answer is not complete. General General Requirement Trial Balance Statement of Stockholders Journal Impact on Ledger RE Equity Equity Prepare the stockholders' equity section of Lafayette Corporation's balance sheet as of December 31. Dates: Jan 01 LAFAYETTE CORPORATION Stockholders' Equity Section of the Balance Sheet December 31 to: Dec 31 Total contributed capital 0 Total stockholders' equity 0 Oct. Dec. record. 28 Paid the dividend declared on September 5. 31 closed the $270,000 credit balance (from net income) in the Income Summary account to Retained Bar Answer is not complete. Requirement General Journal General Ledger Trial Balance Statement of Stockholders Equity RE Impact on Equity For each transaction, indicate the impact on total stockholders' equity. Enter decreases to equity as negative values. Verify that total Stockholders' equity as of December 31, as calculated, agrees with the amount reported on the balance sheet Dates: Jan 01 to: Dec 31 Impact on equity Total Stockholders' Equity - January 1 Jan. 2) Purchased 5,000 shares of its own stock at $23 cash per share. Jan. 5) Directors declared a $2 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record. Feb. 28) Paid the dividend declared on January 5 Jul. 6) Sold 1,900 of its treasury shares at $27 cash per share. Aug. 22) Sold 3,100 of its treasury shares at $20 cash per share. Sep. 5) Directors declared a $2 per share cash dividend payable on October 28 to the September 25 stockholders of record. Oct. 28) Paid the dividend declared on September 5 Dec. 31) Closed the S270,000 credit balance (from net income) in the Income Summary account to Retained Earnings.