Question :
91. On August 31, 2013, Victory Corporation’s common stock priced : 1256382
91. On August 31, 2013, Victory Corporation’s common stock is priced at $30 per share before any stock dividend or split, and the stockholders’ equity section of its balance sheet appears as follows. Assume that the company declares and immediately distributes a 15% stock dividend.
Common stock—$7 par value, 95,000 shares authorized, 38,000 shares issued and outstanding
$ 266,000
Paid-in capital in excess of par value, common stock
100,000
Retained earnings
366,000
Total stockholders’ equity
$732,000
What is the total amount in the Retained Earnings account immediately after the stock dividend?
A. $537,000B. $195,000C. $366,000D. $100,000E. $0
92. On August 31, 2013, Victory Corporation’s common stock is priced at $30 per share before any stock dividend or split, and the stockholders’ equity section of its balance sheet appears as follows. Assume that the company declares and immediately distributes a 15% stock dividend.
Common stock—$7 par value, 95,000 shares authorized, 38,000 shares issued and outstanding
$ 266,000
Paid-in capital in excess of par value, common stock
100,000
Retained earnings
366,000
Total stockholders’ equity
$732,000
What is the total amount in the Paid-In Capital in Excess of Par account immediately after the stock dividend?
A. $537,000B. $195,000C. $366,000D. $100,000E. $231,100
93. On August 31, 2013, Victory Corporation’s common stock is priced at $30 per share before any stock dividend or split, and the stockholders’ equity section of its balance sheet appears as follows. Assume that the company declares and immediately distributes a 35% stock dividend.
Common stock—$7 par value, 95,000 shares authorized, 38,000 shares issued and outstanding
$ 266,000
Paid-in capital in excess of par value, common stock
100,000
Retained earnings
366,000
Total stockholders’ equity
$732,000
What is the total amount in the Paid-In Capital account immediately after the stock dividend?
A. $193,100B. $195,000C. $366,000D. $100,000E. $231,000
94. A company’s outstanding stock consists of () 17,000 shares of noncumulative 7.50% preferred stock with a $10 par value and () 42,500 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends:
2013
$ 0
2014
28,000
2015
100,000
2016
198,000
What amount of dividends will common stockholders receive in 2014?
A. $26,725B. $15,250C. $2,500D. $0E. $28,000
95. A company’s outstanding stock consists of () 17,000 shares of noncumulative 7.50% preferred stock with a $10 par value and () 42,500 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends:
2013
$ 0
2014
28,000
2015
100,000
2016
198,000
What is the amount of dividends that the common stockholders receive for all years presented?
A. $177,000B. $276,000C. $214,250D. $326,000E. $287,750
96. Premier’s outstanding stock consists of () 57,000 shares of cumulative 4.25% preferred stock with an $18 par value and () 75,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends:
2013
$ 0
2014
38,000
2015
150,000
2016
175,000
What is the amount of dividends that the Common Stockholders receive for all years presented?
A. $177,000B. $188,580C. $214,250D. $326,000E. $363,000
97. Duke Corporation reports the following components of stockholders’ equity on December 31, 2013:
Common stock—$25 par value, 100,000 shares authorized, 45,000 shares issued and outstanding
$1,125,000
Paid-in capital in excess of par value, common stock
60,000
Retained earnings
460,000
Total stockholders’ equity
$1,645,000
In 2014, the following transactions affected its stockholders’ equity accounts.
Jan. 1
Purchased 4,500 shares of its own stock at $27 cash per share.
Jan. 5
Directors declared a $3 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record.
Feb. 28
Paid the dividend declared on January 5.
What is the amount of the dividend declared?
A. $177,000B. $135,000C. $121,500D. $326,000E. $338,500
98. Duke Corporation reports the following components of stockholders’ equity on December 31, 2013:
Common stock—$25 par value, 100,000 shares authorized, 45,000 shares issued and outstanding
$1,125,000
Paid-in capital in excess of par value, common stock
60,000
Retained earnings
460,000
Total stockholders’ equity
$1,645,000
In 2014, the following transactions affected its stockholders’ equity accounts.
Jan. 1
Purchased 4,500 shares of its own stock at $27 cash per share.
Jan. 5
Directors declared a $3 per share cash dividend payable on February 28 to the February 5 stockholders of record.
Feb. 28
Paid the dividend declared on January 5.
Mar. 3
Sold 1,000 shares of treasury stock for $28 per share.
What is the journal entry required for the March 3 transaction?
A.
Cash
28,000
Treasury Stock
25,000
Paid-In Capital, Treasury Stock
3,000
B.
Cash
28,000
Treasury Stock
28,000
C.
Cash
28,000
Treasury Stock
27,000
Paid-In Capital, Treasury Stock
1,000
D.
Cash
28,000
Common Stock
25,000
PaidIn Capital, Common Stock
3,000
E.
Cash
28,000
Retained Earnings
28,000
99. Duke Corporation reports the following components of stockholders’ equity on December 31, 2013:
Common stock—$25 par value, 100,000 shares authorized, 45,000 shares issued and outstanding
$1,125,000
Paid-in capital in excess of par value, common stock
60,000
Retained earnings
460,000
Total stockholders’ equity
$1,645,000
In 2014, the following transactions affected its stockholders’ equity accounts:
Jan. 1
Purchased 4,500 shares of its own stock at $27 cash per share.
Jan. 5
Directors declared a $3 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record.
Feb. 28
Paid the dividend declared on January 5.
Mar. 3
Sold 1,000 shares of treasury stock for $28 per share.
May 25
Sold 1,000 shares of treasury stock for $16 per share.
What is the amount in the Retained Earnings account immediately after the May 25 sale?
A. $460,000B. $328,500C. $444,000D. $433,000E. $338,500
100. Duke Corporation reports the following components of stockholders’ equity on December 31, 2013:
Common stock—$25 par value, 100,000 shares authorized, 45,000 shares issued and outstanding
$1,125,000
Paid-in capital in excess of par value, common stock
60,000
Retained earnings
460,000
Total stockholders’ equity
$1,645,000
In 2014, the following transactions affected its stockholders’ equity accounts:
Jan. 1
Purchased 4,500 shares of its own stock at $27 cash per share.
Jan. 5
Directors declared a $3 per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record.
Feb. 28
Paid the dividend declared on January 5.
Mar. 3
Sold 1,000 shares of treasury stock for $28 per share.
May 25
Sold 1,000 shares of treasury stock for $16 per share.
June 15
Directors declared a $1.50 per share cash dividend payable on July 15 to the June
30 stockholders of record.
July 15
Paid the dividend declared on June 15.
What is the amount in the Retained Earnings account immediately after the dividend on July 15?
A. $264,750B. $392,500C. $460,000D. $338,500E. $470,000
101. Victory Corporation issues 17,000 shares of its $2 par value common stock for $152,025 cash on February 20. What is the appropriate journal entry to record this transaction?
A.
Cash
152,025
Common Stock
34,000
Paid-in Capital in Excess of Par, Common Stock
118,025
B.
Common Stock
152,025
Cash
152,025
C.
Cash
152,025
Common Stock
34,000
Retained Earnings
118,025
D.
Cash
152,025
Common Stock
152,025
E.
Cash
118,025
Paid-In Capital in Excess of Par, Common Stock
34,000
Common Stock
152,025
102. A newly formed company sold stock for $545,000. The shares had a par value of $5 each. After the transaction, the Paid-In Capital in Excess of Par, Common Stock, account had a balance of $215,000. How many shares did the company sell?
A. 62,000B. 152,000C. 43,000D. 109,000E. 66,000
