P15-11 Guoping Limited provides you with the following condensed statement of financial position information: Assets Liabilities...

 

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P15-11 Guoping Limited provides you with the following condensed statement of financial position information: Assets Liabilities and Shareholders' Equity Current assets Investments in Geneva Inc.- fair value through net income (10,000 shares) Equipment (net) Current and long-term liabilities a d $100,000 $ 40,000 bauee d of sts Shareholders' equity d yd bisa tediwesbnu Common sharessie normm 60,000 b 250,000 Retained earnings n0o. 000 02E to norsa$130,000 bieo 180,000 Total liabilities and esb leget ot spiovni shareholders' equity dmoo s bce 199 2sw 199 000.00s to sohg beeu asw eseria.nomimoo to else sitt esingooen of beinew 199 of sa noi zsTErde normmo begne 10,000 shares issued ow 2A 310,000 Intangibles Total assets 60,000 bonsterg $410,000 g s to sulsV 6 ES $410,000 Instructions lame ad (a) For each transaction below, indicate the dollar impact (if any) on the following four items: (1) total assets, (2) com- mon shares, (3) retained earnings, and (4) shareholders' equity. (Each situation is independent.) ssda be Cnt tos the 1. The company declares and pays a $0.50 per share dividend. 2. The company declares and issues a 10% stock dividend when the shares' market price is $12 per share. 3. The company declares and issues a 40% stock dividend when the shares' market price is $17 per share. 4. The company declares and distributes a property dividend. The company gives one Geneva share for every two company shares held. Geneva is selling for $8 per share on the date when the property dividend is declared. 5. The company declares a 3-for-1 stock split and issues new shares. (6) What are the differences between a stock dividend and a cash or property dividend? P15-11 Guoping Limited provides you with the following condensed statement of financial position information: Assets Liabilities and Shareholders' Equity Current assets Investments in Geneva Inc.- fair value through net income (10,000 shares) Equipment (net) Current and long-term liabilities a d $100,000 $ 40,000 bauee d of sts Shareholders' equity d yd bisa tediwesbnu Common sharessie normm 60,000 b 250,000 Retained earnings n0o. 000 02E to norsa$130,000 bieo 180,000 Total liabilities and esb leget ot spiovni shareholders' equity dmoo s bce 199 2sw 199 000.00s to sohg beeu asw eseria.nomimoo to else sitt esingooen of beinew 199 of sa noi zsTErde normmo begne 10,000 shares issued ow 2A 310,000 Intangibles Total assets 60,000 bonsterg $410,000 g s to sulsV 6 ES $410,000 Instructions lame ad (a) For each transaction below, indicate the dollar impact (if any) on the following four items: (1) total assets, (2) com- mon shares, (3) retained earnings, and (4) shareholders' equity. (Each situation is independent.) ssda be Cnt tos the 1. The company declares and pays a $0.50 per share dividend. 2. The company declares and issues a 10% stock dividend when the shares' market price is $12 per share. 3. The company declares and issues a 40% stock dividend when the shares' market price is $17 per share. 4. The company declares and distributes a property dividend. The company gives one Geneva share for every two company shares held. Geneva is selling for $8 per share on the date when the property dividend is declared. 5. The company declares a 3-for-1 stock split and issues new shares. (6) What are the differences between a stock dividend and a cash or property dividend?

Answer rating: 100% (QA)

a Myers declares and pays a 050 per share cash dividend 1 2 3 4 5 2 3 4 5 1 2 3 4 5 2 3 4 Total asse... View the full answer