13.On January 23, Bennington Corporation, for the first time in its short history, purchased 200 shares of its own common stock for $40 a share. On March 31, it sold 100 of those shares for $45 a...







13.On January 23, Bennington Corporation, for the first time in its short history, purchased 200 shares of its own common stock for $40 a share. On March 31, it sold 100 of those shares for $45 a share. Prepare the journal entry recording the March 31st transaction.





































































14.
On January 23, Oakley Co., for the first time in its short history, purchased 200 shares of its own common stock for $40 a share. On March 31, it sold 100 of those shares for $45 a share and properly recorded $500 as additional paid-in capital. On April 15, it sold the remaining 100 shares for $35 a share. Prepare the journal entry to record the April 15th transaction.

































































15.On January 23, Bayshore Corporation, for the first time in its short history, purchased 200 shares of its own common stock for $40 a share. On March 31, it sold 100 of those shares for $45 a share and properly recorded $500 as additional paid-in capital. On April 15, it sold the remaining 100 shares for $30 a share. Prepare the journal entry to record the April 15th transaction.















































































16.The shareholders' equity section of Maven Corporation's balance sheet as of December 31, 2008 is as follows:































Common stock, $1 par; authorized, 6,000 shares; 2,000 shares issued




$ 2,000




Additional paid-in capital




60,000




Retained earnings




58,000







Total shareholders’ equity




$120,000







The following events occurred during 2009:




  • February 1 - 400 shares of authorized and unissued common stock were sold for $4 per share.


  • June 16 - A 15% stock dividend was declared and issued. Market value per share is currently $18.


  • October 11 - A three-for-one split was carried out. Market value was $21 per share.


  • November 4 - A cash dividend of $4.20 per share was declared, payable January 12 to shareholders of record on November 30.



How many shares of common stock are outstanding at December 31, 2009? Determine the balance in the common stock account at December 31, 2009.



17.An 8% stock dividend was declared and distributed on 3,000 shares of par $10 common stock when its market price was $32. Prepare the journal entry required by the stock dividend.





































































18.Cullen Distribution Corporation's contributed capital section of its balance sheet follows:















Preferred stock: $10 par, 4%




$650,000




Common stock: $8 par




400,000






During the last two years, Cullen Distribution Corporation did not declare any dividends to its shareholders. This year, Cullen declares and pays total dividends of $100,000. Calculate the dividends paid separately to preferred and common shareholders if the preferred stock is cumulative.









May 15, 2022
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