Question 1
Buttercup Corporation issued 250 shares of $ 11 par value common stock for $ 4,125. Prepare Buttercup ‟ journal entry.
Question 2
Wilco Corporation has the following account balances at December 31, 2012.
Common stock, $ 5 par value $ 511,670 Treasury stock 95,260 Retained earnings 2,400,840 Paid-in capital in excess of par 1,320,150 Prepare Wilco ‟ s December 31, 2012, stockholders ‟ equity section Question 3
Woolford Inc. declared a cash dividend of $ 1.38 per share on its 2.22 million outstanding shares. The dividend was declared on August 1, payable on September 9 to all stockholders of record on August 15. Prepare the journal entries necessary on those three dates.
Question 4
The outstanding capital stock of Pennington Corporation consists of 3,100 shares of $ 109 par value, 6 % preferred, and 5,700 shares of $ 52 par value common.
Assuming that the company has retained earnings of $ 83,000, all of which is to be paid out in dividends, and that preferred dividends were not paid during the 2 years preceding the current year, state how much each class of stock should receive under each of the following conditions.
Question 5