Question: Need help with these requirement 1-A through to 3-B please and thank you Problem 10-1 Recording Dividends On August 15, 2021, EasyMoney, Inc.'s Board of



Problem 10-1 Recording Dividends On August 15, 2021, EasyMoney, Inc.'s Board of Directors meets and declares that EasyMoney will pay a dividend to its stockholders. Each share of EasyMoney's Common Stock will be paid a dividend of $1.25 per share. There are currently 100,000 shares of EasyMoney's Common Stock held by EasyMoney's shareholders. The following are the facts related to this dividend: Dividend per Share $1.25 Date of Declaration August 15, 2021 D Date of Record September 5, 2021 D Date of Payment September 20, 2021 The following is a partial list of the accounts in EasyMoney, Inc.'s General Ledger. These are the only accounts you need for this problem. Cash Dividends Payable Retained Earnings As August 1, 2021, the Beginning Balance in the Dividends Payable account is $0 and the Beginning Balance in the Retained Earnings account is $625,000 Use the forms in the Excel workbook Chapter 10 b - Problem 10-1 Forms to complete this problem Requirement 1 A. Record the entry that EasyMoney should make in the General Journal on August 15, 2021 to record the declaration of the dividend. B. After making and posting the August 15 entry, what are the Current Balances in the Dividends Payable account? Retained Earnings account? Requirement 2 A. EasyMoney's Accounting Cycle is one month long. EasyMoney's Net Income for the month of August is $52,000. Prepare the Calculation of Retained Earnings as of August 31 for the Balance Sheet B. What would be the amount of Dividends Payable on EasyMoney's August 31 Balance Sheet? Resuirement 1 A. Record the entry that EasyMoney should make in the General Journal on August 15, 2021 to record the declaration of the dividend. B. After making and posting the August 15 entry, what are the Current Balances in the: Dividends Payable account? Retained Earnings account? Requirement 2 A. EasyMoney's Accounting Cycle is one month long. EasyMoney's Net Income for the month of August is $52,000. Prepare the Calculation of Retained Earnings as of August 31 for the Balance Sheet B. What would be the amount of Dividends Payable on EasyMoney's August 31 Balance Sheet? Requirement 3 A. Record the entry that EasyMoney should make in the General Journal on September 20, 2021 to record the payment of the dividend. B. After making and posting the September 20 entry, what is the Current Balance in the Dividends Payable account? Recording Dividends Requirement 1 A. August 15 Dividend declaration entry Date Account Name Debit Credit B. After posting the above entry the Current Balances in the Dividends Payable account and the Retained Earnings account: Current Balance in the Current Balance in the Dividends Payable Retained Earnings account as of Aug. 15 account as of Aug. 15 Requirement 2 A. Calculation of Retained Earnings as of August 31 for the Balance Sheet Calculation of Retained Earnings as of August 31 for the Balance Sheet Requirement 2 A. Calculation of Retained Earnings as of August 31 for the Balance Sheet Calculation of Retained Earnings as of August 31 for the Balance Sheet B. Dividends Payable shown on EasyMoney's August 31 Balance Sheet Dividends Payable on the August 31 Balance Sheet Requirement 3 A. September 20 Dividend payment entry Date Account Name Debit Credit 10-1 Requirement 3 A. September 20 Dividend payment entry Date Account Name Debit Credit B. After posting the above entry the Current Balance in the Dividends Payable account Current Balance in the Dividends Payable account as of Sept 20 10-1
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
