The following selected events were experienced by either Knox Eldercare Services, Inc., a corporation, or Steve Knox,
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a. Sold land and received cash of $69,000 (the land was carried on the company's books at $69,000).
b. Received $15,400 cash from customers on account.
c. Made cash purchase of land for a building site for the business, $89,000.
d. Borrowed $62,000 from the bank for use in the business.
e. Knox used personal funds to purchase a flat-screen TV for his home.
f. Purchased medical equipment and signed a $90,000 promissory note in payment.
g. Purchased office supplies on account for $ 1,200.
h. Received $12,000 cash and issued stock to a stockholder.
i. Paid $400 cash on accounts payable.
j. The business paid Knox a cash dividend of $4,000.
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
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Related Book For
Financial Accounting
ISBN: 978-0134127620
11th edition
Authors: Walter Harrison, Charles Horngren, William Thomas, Wendy Tietz
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