On January 1, Blossom Corporation had 93,000 shares of no-par common stock issued and outstanding. The stock has a stated value of $7 per share. During the year, the following occurred. Apr. 1 Issued 30,000 additional shares of common stock for $16 per share. June 15 Declared a cash dividend of $1 per share to stockholders of record on June 30. July 10 Paid the $1 cash dividend. Dec. 1 Issued 1,500 additional shares of common stock for $19 per share. 15 Declared a cash dividend on outstanding shares of $2.00 per share to stockholders of record on December 31. (a) Prepare the entries to record these transactions.
Journal entries
| Date | General Journal | Debit | Credit |
| Apr 1 | Cash (30000*16) | 480000 | |
| Common Stock (30000*7) | 210000 | ||
| Paid in capital in excess of stated value-Common Stock | 270000 | ||
| June 15 | Cash dividend (123000*1) | 123000 | |
| Dividend payable | 123000 | ||
| July 10 | Dividend payable | 123000 | |
| Cash | 123000 | ||
| Dec 1 | Cash (1500*19) | 28500 | |
| Common Stock (1500*7) | 10500 | ||
| Paid in capital in excess of stated value-Common Stock | 18000 | ||
| Dec 15 | Cash dividend (124500*2) | 249000 | |
| Dividend payable | 249000 | ||
Get Answers For Free
Most questions answered within 1 hours.