If the Stock Dividends < 25%, recorded at fair market value. If the Stock Dividends >...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
If the Stock Dividends < 25%, recorded at fair market value. If the Stock Dividends > 25%, recorded at book value. Example1: Velvet Company has 5,000 shares issued and outstanding. Par value is $1; book value $32 and market value is $40. Instruction: prepare the entries at the different following situations 1- 10% stock dividend is declared (market value $40) 2- 50% stock dividend is declared (book value $32) If the Stock Dividends < 25%, recorded at fair market value. If the Stock Dividends > 25%, recorded at book value. Example1: Velvet Company has 5,000 shares issued and outstanding. Par value is $1; book value $32 and market value is $40. Instruction: prepare the entries at the different following situations 1- 10% stock dividend is declared (market value $40) 2- 50% stock dividend is declared (book value $32)
Expert Answer:
Answer rating: 100% (QA)
1 10 stock dividend is declared market value 40 In this scenario since the stock dividend is less th... View the full answer
Related Book For
Posted Date:
Students also viewed these finance questions
-
Evaluate the definite integral 5 dx = 4 3 (3x - 5) dx. 5 3 S (3x - 5) 4 (Round to four decimal places as needed.)
-
The stockholders equity of TVX Company at the beginning of the day on February 5 follows: Common stock $ 10 par value, 150,000 shares authorized, 60,000 shares issued and outstanding . . . . . . . ....
-
The equity accounts for Kalimantan Corp. showed the following balances on December 31, 2013: Preferred shares, $2 non-cumulative, Unlimited shares authorized...
-
i. Find a. b. ii. Use the trapezium rule with 2 intervals to estimate the value of giving your answer correct to 2 decimal places. +6 e2x + 6 e2 dx,
-
Why do effective performance evaluation systems measure different things at different levels in the organization?
-
Perform the indicated operations, expressing all answers in the form a + bj. (6j+5)(24j) (5 - j)(4j + 1)
-
What are some of the nonverbal clues to deception?
-
Leslie and Leon Lazo are married and file a joint return for 2014. Leslie's Social Security number is 466-47-3311 and Leon's is 467-74-4451. They live at 143 Snapdragon Drive, Reno, NV 82102. For...
-
returns the number of rows that contain the integer parameter. For example, if the array (as created by the Write a method called findRows that takes a two-dimension array of integers and an int as...
-
1. Create a stored procedure that takes a countrys name as the input parameter and outputs the details of customers in it (customer_id, first_name, last_name). 2. Create a stored procedure that takes...
-
How to obtain full convergence in reference to GAAP and IFRS?
-
A home buyer will take out a mortgage of $280,000 for a new house. The mortgage will feature 30 years of monthly payments. The mortgage carries a 4.80% APR (with monthly compounding). What will be...
-
A student invests $1,000 today in a savings account that pays 2.4% APR with monthly compounding. The student will leave the money in the account for exactly 10 years. What will be the balance at the...
-
A steel ball of mass 0.790 kg is fastened to a cord that is 90.0 cm long and fixed at the far end. The ball is then released when the cord is horizontal, as shown in the figure. At the bottom of its...
-
You have just received notification that you have won the $2.04 million first prize in the Centennial Lottery. However, the prize will be awarded on your 100th birthday (assuming you're around to...
-
Imprudential, Inc., has an unfunded pension liability of $773 million that must be paid in 10 years. To assess the value of the firm's stock, financial analysts want to discount this liability back...
-
Acetylene gas is 92.3% carbon and 7.7% hydrogen (by mass), and its molar mass is 26 g/mol. What is its molecular formula?
-
Is that Yelp review real or fake? The article A Framework for Fake Review Detection in Online Consumer Electronics Retailers (Information Processing and Management 2019: 12341244) tested five...
-
Mike Pattern owns Patterns Sneaker Shop. (Balances as of May 1 are provided for the accounts receivable and general ledger accounts as follows: Donati $325 Dr.; Lindall $800 Dr.; Pry $500 Dr.; Zamora...
-
On April 24, 201X, Firemen Corporation declared a 4% stock dividend distributable May 18 to stockholders of record on May 8. Currently Firemen has 6,800 shares of common stock issued and outstanding....
-
On May 1, 201X, Marcus Company received a $21,000, 90-day, 10% note from Walker Company dated May 1. On June 20, 201X, Marcus discounted the note at Manchester Bank at a discount rate of 12%. 1....
-
Suppose that your college or university decides to evaluate its undergraduate program to determine how successful it is at educating students. How should the output of a university be measured? In...
-
Suppose that your local school district wants to implement a program to assess teacher quality and success and to use that assessment as part of the evaluation of teachers that may affect their...
-
Explain why it may be necessary for state governments to begin to replace unit (per gallon) gasoline excise taxes with an alternative tax or different revenue source. Make the case for a user fee...
Study smarter with the SolutionInn App