Stockholders' Equity Section of Balance Sheet The following accounts and their balances appear in the ledger of Goodale Properties Inc. on June 30 of the current year: Common Stock, $15 par $652,500...

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Stockholders' Equity Section of Balance Sheet The following accounts and their balances appear in the ledger of Goodale Properties Inc. on June 30 of the current year: Common Stock, $15 par $652,500 Paid-In Capital from Sale of Treasury Stock 26,800 Paid-In Capital in Excess of Par—Common Stock 17,400 Retained Earnings 1,024,000 Treasury Stock 13,490 Prepare the Stockholders’ Equity section of the balance sheet as of June 30 using Method 1 of Exhibit 8. Eighty thousand shares of common stock are authorized, and 710 shares have been reacquired. Goodale Properties Inc. Stockholders' Equity June 30, 20XX Paid-In Capital:   $     $   Total Paid-In Capital $   Total $   Total Stockholders' Equity $ Retained Earnings Statement Sumter Pumps Corporation, a manufacturer of industrial pumps, reports the following results for the year ended January 31, 20Y2: Retained earnings, February 1, 20Y1 $380,200 Net income 45,600 Cash dividends declared 8,200 Stock dividends declared 15,500 Prepare a retained earnings statement for the fiscal year ended January 31, 20Y2. Sumter Pumps Corporation Retained Earnings Statement For the Year Ended January 31, 20Y2   $   $       $ Selected Stock Transactions The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year: Preferred 2% Stock, $150 par (60,000 shares authorized, 30,000 shares issued) $4,500,000 Paid-In Capital in Excess of Par—Preferred Stock 720,000 Common Stock, $15 par (600,000 shares authorized, 270,000 shares issued) 4,050,000 Paid-In Capital in Excess of Par—Common Stock 530,000 Retained Earnings 20,776,000 During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows: a. Issued 60,000 shares of common stock at $20, receiving cash. b. Issued 15,000 shares of preferred 2% stock at $170. c. Purchased 36,000 shares of treasury common for $17 per share. d. Sold 18,000 shares of treasury common for $20 per share. e. Sold 12,000 shares of treasury common for $15 per share. f. Declared cash dividends of $3.00 per share on preferred stock and $0.06 per share on common stock. g. Paid the cash dividends. Required: Journalize the entries to record the transactions. For a compound transaction, if an amount box does not require an entry, leave it blank. a.  Issued 60,000 shares of common stock at $20, receiving cash.         b.  Issued 15,000 shares of preferred 2% stock at $170.         c.  Purchased 36,000 shares of treasury common for $17 per share..       d.  Sold 18,000 shares of treasury common for $20 per share.         e.  Sold 12,000 shares of treasury common for $15 per share.         f.  Declared cash dividends of $3 per share on preferred stock and $0.06 per share on common stock.       g.  Paid the cash dividends.       Entries for Selected Corporate Transactions Morrow Enterprises Inc. manufactures bathroom fixtures. The stockholders' equity accounts of Morrow Enterprises Inc., with balances on January 1, 20Y5, are as follows: Common Stock, $10 stated value (850,000 shares authorized, 560,000 shares issued) $5,600,000 Paid-In Capital in Excess of Stated Value-Common Stock 1,050,000 Retained Earnings 12,710,000 Treasury Stock (56,000 shares, at cost) 840,000 The following selected transactions occurred during the year: Jan. 22. Paid cash dividends of $0.12 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $60,480. Apr. 10. Issued 105,000 shares of common stock for $1,680,000. June 6. Sold all of the treasury stock for $1,008,000. July 5. Declared a 5% stock dividend on common stock, to be capitalized at the market price of the stock, which is $18 per share. Aug. 15. Issued the certificates for the dividend declared on July 5. Nov. 23. Purchased 35,000 shares of treasury stock for $700,000. Dec. 28. Declared a $0.15-per-share dividend on common stock. 31. Closed the credit balance of the income summary account, $13,218,000. 31. Closed the two dividends accounts to Retained Earnings. Required: 1.  The January 1 balances have been entered in T accounts for the stockholders' equity accounts. Record the above transactions in the T accounts and provide the December 31 balance where appropriate. Common Stock     Jan. 1 Bal. 5,600,000                 Dec. 31 Bal. Paid-In Capital in Excess of Stated Value-Common Stock     Jan. 1 Bal. 1,050,000                 Dec. 31 Bal. Retained Earnings   Jan. 1 Bal. 12,710,000           Dec. 31 Bal. Treasury Stock Jan. 1 Bal. 840,000         Dec. 31 Bal.     Paid-In Capital from Sale of Treasury Stock       Stock Dividends Distributable     Stock Dividends     Cash Dividends     2. Journalize the entries to record the transactions. For a compound transaction, if an amount box does not require an entry, leave it blank. Jan. 22.  Paid cash dividends of $0.12 per share on the common stock. The dividend had been properly recorded when declared on December 1 of the preceding fiscal year for $60,480. Date Account Debit Credit Jan. 22       Apr. 10.  Issued 105,000 shares of common stock for $1,680,000. Date Account Debit Credit Apr. 10           June 6.  Sold all of the treasury stock for $1,008,000. Date Account Debit Credit June 6           July 5.  Declared a 5% stock dividend on common stock, to be capitalized at the market price of the stock, which is $18 per share. Date Account Debit Credit July 5           Aug. 15.  Issued the certificates for the dividend declared on July 5. Date Account Debit Credit Aug. 15       Nov. 23.  Purchased 35,000 shares of treasury stock for $700,000. Date Account Debit Credit Nov. 23       Dec. 28.  Declared a $0.15-per-share dividend on common stock. Date Account Debit Credit Dec. 28       Dec. 31.  Closed the credit balance of the income summary account, $13,218,000. Date Account Debit Credit Dec. 31           Dec. 31.  Closed the two dividends accounts to Retained Earnings. Date Account Debit Credit Dec. 31           3.  Prepare a retained earnings statement for the year ended December 31, 20Y5. Assume that Morrow Enterprises Inc. had net income for the year ended December 31, 20Y5, of $13,218,000. Morrow Enterprises Inc. Retained Earnings Statement For the Year Ended December 31, 20Y5         Dividends:                   $ 4.  Prepare the Stockholders' Equity section of the December 31, 20Y5, balance sheet. Morrow Enterprises Inc. Stockholders' Equity As of December 31, 20Y5 Paid-In-Capital:                       Total Paid-In Capital           Total           Total Stockholders' Equity     $ Entries for Selected Corporate Transactions Selected transactions completed by ATV Discount Corporation during the current fiscal year are as follows: Journalize the transactions. If no entry is required, select "No Entry Required" from the dropdown box and leave the amount boxes blank. For a compound transaction, if an amount box does not require an entry, leave it blank. Jan. 5.  Split the common stock 4 for 1 and reduced the par from $120 to $30 per share. After the split, there were 320,000 common shares outstanding. Date Account Debit Credit Jan. 5.         Mar. 10.  Purchased 26,000 shares of the corporation's own common stock at $35, recording the stock at cost. Date Account Debit Credit Mar. 10.         Apr. 30.  Declared semiannual dividends of $1.6 on 55,000 shares of preferred stock and $0.07 on the common stock to stockholders of record on May 15, payable on June 15. Date Account Debit Credit Apr. 30.     June 15.  Paid the cash dividends. Date Account Debit Credit June 15.         Aug. 20.  Sold 19,000 shares of treasury stock at $39, receiving cash. Date Account Debit Credit Aug 20.       Oct. 15.  Declared semiannual dividends of $1.6 on the preferred stock and $0.13 on the common stock (before the stock dividend). Date Account Debit Credit Oct. 15.         Oct. 15.  A 2% common stock dividend was declared on the common stock outstanding. The fair market value of the common stock is estimated at $41. Date Account Debit Credit Oct. 15.       Dec. 19.  Paid the cash dividends. Date Account Debit Credit Dec. 19.         Dec. 19.  Issued the certificates for the common stock dividend. Date Account Debit Credit Dec. 31.
Answered Same DayOct 26, 2021

Answer To: Stockholders' Equity Section of Balance Sheet The following accounts and their balances appear in...

Khushboo answered on Nov 01 2021
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Stockholders' Equity Section of Balance Sheet
The following accounts and their balances appear in the ledger of Goodale Properties Inc. on June 30 of the current year:
    Common Stock, $15 par
    $652,500
    Paid-In Capital from Sale of Treasury Stock
    26,800
    Paid-In Capital in Excess of Par—Common Stock
    17,400
    Retained Earnings
    1,024,000
    Treasury Stock
    13,490

Prepare the Stockholders’ Equity section of the balance sheet as of June 30 using Method 1 of Exhibit 8. Eighty thousand shares of common stock are authorized, and 710 shares have been reacquired.
    Goodale Properties Inc.
    Stockholders' Equity
    June 30, 20XX
    Paid-In Capital:
    
    
    
    Common stock $15 Par (80000 shares authorized, 43500 share issued) 
    $652,500
    
    
     Excess of issue price over par
    17,400
    
    
     Paid in capital from common stock
    
    $669,900
    
     Sale of treasury stock
    26,800
    
    
    Total Paid-In Capital
    
    $696,700
    
     Retained earnings
    1,024,000
    
    
    Total
    
    $1720,700
    
     Treasury stock
    13,490
    
    
    Total Stockholders' Equity
    
    
    $1707210
Retained Earnings Statement
Sumter Pumps Corporation, a manufacturer of industrial pumps, reports the following results for the year ended January 31, 20Y2:
    Retained earnings, February 1, 20Y1
    $380,200
    Net income
    45,600
    Cash dividends declared
    8,200
    Stock dividends declared
    15,500
Prepare a retained earnings statement for the fiscal year ended January 31, 20Y2.
    Sumter Pumps Corporation
    Retained Earnings Statement
    For the Year Ended January 31, 20Y2
     Retained earnings Feb 1, 20Y1
    
    $380,200
     Net income
    $45,600
    
     Cash dividend declared
    8,200
    
     Stock dividend declared
    15,500
    
     Retained earnings Jan 31, 20Y2
    
    $402,100
Selected Stock Transactions
The following selected accounts appear in the ledger of Parks Construction Inc. at the beginning of the current year:
    Preferred 2% Stock, $150 par (60,000 shares authorized, 30,000 shares issued)
    $4,500,000
    Paid-In Capital in Excess of Par—Preferred Stock
    720,000
    Common Stock, $15 par (600,000 shares authorized, 270,000 shares issued)
    4,050,000
    Paid-In Capital in Excess of Par—Common Stock
    530,000
    Retained Earnings
    20,776,000
During the year, the corporation completed a number of transactions affecting the stockholders' equity. They are summarized as follows:
a. Issued 60,000 shares of common stock at $20, receiving cash.
b. Issued 15,000 shares of preferred 2% stock at $170.
c. Purchased 36,000 shares of treasury common for $17 per share.
d. Sold 18,000 shares of treasury common for $20 per share.
e. Sold 12,000 shares of treasury common for $15 per share.
f. Declared cash dividends of $3.00 per share on preferred stock and $0.06 per share on common stock.
g. Paid the cash dividends.
Required:
Journalize the entries to record the transactions. For a compound transaction, if an amount box does not require an entry, leave it blank.
a.  Issued 60,000 shares of common stock at $20, receiving cash.
     a.
    Cash 
    $1,200,000
    
    
     Common Stock
    
    900,000
    
     Paid in capital in excess of par common stock
    
    300,000
b.  Issued 15,000 shares of preferred 2% stock at $170.
     b.
      Cash
    $2,550,000
    
    
      Preferred Stock
    
    2,250,000
    
      Paid in capital in excess of par- preferred stock
    
    300,000
c. Purchased 36,000 shares of treasury common for $17 per share..
     c.
    Treasury Stock 
    612,000
    
    
      Cash
    
    612,000
d.  Sold 18,000 shares of treasury common for $20 per share.
     
     Cash
    360,000
    
    
     Treasury Stock
    
    306,000
    
     Paid in capital from treasury stock
    
    54,000
e.  Sold 12,000 shares of treasury common for $15 per...
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