Exam 19: Corporations: Stock Values, Dividends, Treasury Stocks,

Prepare the following journal entries for Complex Company. March 15 Declared the stated dividend on 8,000 shares of $12 par, 7% preferred stock. April 15 Paid the dividend.

A corporation may issue a stock dividend for which of the following reasons?

Common Stock Dividend Distributable is an asset account.

A stock split:

Issuing a stock dividend would show a debit to Common Stock and a credit to Common Stock Dividends Distributable.

Ample Corporation's balance in Retained Earnings is $130,000. The board of directors directs that $65,000 be appropriated for future business expansion. This will cause total retained earnings to:

A prior period adjustment for depreciation would affect what account in the stockholders' equity section?

The entry to record the distribution of the stock dividend would include:

Market Value is defined as:

The Tiger Football Corporation has 9,000 shares of $1.50 par value common stock issued and outstanding. The board of directors declared a 3-for-1 stock split May 10, distributable on June 15, to stockholders of record on June 1. The Retained Earnings account balance is $50,000 on May 10. Prepare the equity section of the balance sheet on May 10 and June 15, before and after the stock split.

Farm and Supply reissued 120 shares of treasury stock at $24 that had been reacquired for $11 per share. What is the entry?

Before common stock per share is computed, preferred stock is considered.

Curtis Corporation's balance sheet included the following: Common Stock, $5 par value, 5,000 shares issued Prepare journal entries for the following transactions:

A stock split has no effect on retained earnings.

Using the following accounts: Indicate the account(s) to be debited and credited to record the following transactions. -Sold treasury stock at a price equal to cost. Debit ________ & Credit ________

On June 7, Ramirez Incorporated paid a $6.25 cash dividend per share on 3,200 shares issued and outstanding. What is the journal entry to record this transaction?

The board of Marpa, Inc. declared a $3 per share cash dividend on common stock. The corporation has 5,000 shares of common stock outstanding. The entry required to declare the dividend is:

An appropriation to retained earnings reduces total shareholders' equity.

Treasury stock is:

Which of the following is NOT a reason why a corporation would reacquire previously issued stock?