The Janjua Company had the following account balances at
1/1/18:
Common Stock
$90,000
Treasury Stock (at...
The Janjua Company had the following account balances at
1/1/18:
Common Stock
$90,000
Treasury Stock (at cost)
$12,000
Paid-in-Capital in Excess of Par
$60,000
Investments in Trading Debt Securities
$30,000
FVA (Trading)
$2,000 debit
Retained Earnings
$14,000
There were no sales or purchases of
Common Stock or Investments during 2018. Prior to any adjusting
journal entries related to the Investments, 2018 Net Income was
$8,600. No other transactions affecting Retained Earnings occurred.
Fair Value of the Investments at 12/31/18 was...
On January 1, 2018, Walker Corporation had the following account
balances:
Common stock, $1 par, 250,000...
On January 1, 2018, Walker Corporation had the following account
balances:
Common stock, $1 par, 250,000 shares issues 250,000
Paid-in-capital - excess of par, common 500,000
Preferred stock, $100 par, 10,000 shares outstanding
1,000,000
Paid-in-capital - excess of par, preferred 100,000
Retained Earnings 2,000,000
Treasury stock, at cost, 5,000 shares 25,000
During 2018, the following transactions occurred relating to
common stock:
1/15/18 - Declared a property dividend of 100,000 shares of
Wagner Company (book value $10 per share; fair value...
On November 30, 2016, Davis Company had the following account
balances:
Debit
Credit
Cash
$3,090
Accounts...
On November 30, 2016, Davis Company had the following account
balances:
Debit
Credit
Cash
$3,090
Accounts Receivable
9,900
Allowance for Doubtful Accounts
$100
Inventory
17,750
Supplies
1,400
Land
9,000
Buildings and Equipment
42,000
Accumulated Depreciation
4,200
Accounts Payable
10,700
Common Stock
20,000
Retained Earnings (1/1/2016)
42,400
Dividends
2,000
Sales Revenue
69,700
Cost of Goods Sold
36,860
Salaries Expense
12,500
Advertising Expense
8,100
Other Expenses
4,500
During the month of December, Davis entered into the following
transactions:
Date
Transaction
Dec. 4...
Hammock Inc. acquired all of the common stock that was
outstanding of Iceberg Company on 1/1/16....
Hammock Inc. acquired all of the common stock that was
outstanding of Iceberg Company on 1/1/16. As a result of this
acquisition, there will be annual amortization in the amount of
$55,000. Hammock reported a retained earnings balance of $510,000
and Iceberg reported a retained earnings balance of $145,000 on the
date of acquisition. In addition, Hammock had net income for 2016
in the amount of $95,000 and net income for 2017 in the amount of
$105,000. Hammock also paid...
On January 1, 2018, Fascom had the following account balances in
its shareholders' equity accounts.
Common...
On January 1, 2018, Fascom had the following account balances in
its shareholders' equity accounts.
Common stock, $1 par, 250,000 shares issued 250,000
Paid-in capital—excess of par, common 500,000
Paid-in capital—excess of par, preferred 100,000
Preferred stock, $100 par, 10,000 shares outstanding
1,000,000
Retained earnings 2,000,000
Treasury stock, at cost, 5,000 shares 25,000
During 2018, Fascom Inc. had several transactions relating to
common stock.
1. January 15: Declared a property dividend of 100,000 shares of
Slowdown Company (book value $10...
Common stock
$1 Par
Add. Paid in Cap
Retained
Earnings
Treasury
Stock
Total Share-
Holders Equity...
Common stock
$1 Par
Add. Paid in Cap
Retained
Earnings
Treasury
Stock
Total Share-
Holders Equity
Bal. 1/1/2015
354,000
10,415,000
2,761,044
-
13,530,044
Common Shares
370,000
12,210,000
Shares Repurchase
(83,500 shares)
(1,670,000)
Cash Dividends
(50,000)
Net Income
2,696,789
Bal. 12/31/2015
724,000
22,625,000
5,407,833
(1,670,000)
27,086,833
Cash Dividend Comm Stock
(75,000)
Stock div 5 for 4
181,000
(181,000)
Net Income
3,805,617
Bal. 12/31/216
905,000
22,625,000
8,957,450
(1,670,000)
31,817,450
Requirement 1: Use Journal Entries to establish
beginning balances for each of the...
P12-3A Journalize
transactions and adjusting entry for stock investments.
On December 31, 2015, Turnball
Associates owned...
P12-3A Journalize
transactions and adjusting entry for stock investments.
On December 31, 2015, Turnball
Associates owned the following securities, held as a long-term
investment. The securities are
not held for influence or control of the investee.
Common Stock
Shares
Cost
Gehring Co.
2,000
$60,000
Wooderson Co.
5,000
45,000
Kitselton Co.
1,500
30,000
On December 31, 2015, the
total fair value of the securities was equal to its cost. In
2016,
the following transactions
occurred.
July 1
Received $1 per share...
At the beginning of 2009, Presidio Company purchased 95% of the
common stock of Succo Company...
At the beginning of 2009, Presidio Company purchased 95% of the
common stock of Succo Company for $533,615. On that date, Succo
Company’s stockholders’ equity consisted of the
following:
Common stock
$323,500
Other contributed capital
107,200
Retained earnings
131,000
Total
$561,700
During 2017, Succo Company reported net income of $43,400 and
distributed dividends in the amount of $18,300. Succo Company’s
retained earnings balance at the end of 2016 amounted to $158,500.
Presidio Company uses the equity method.
Prepare in general...
The shareholders' equity accounts of Grouper Inc. have
the following balances on December 31, 2020:
Common...
The shareholders' equity accounts of Grouper Inc. have
the following balances on December 31, 2020:
Common shares, 420,000 shares issued and outstanding $
9,240,000
Contributed surplus
500,000
Retained earnings
42,600,000
Common shares are currently trading on the Toronto Stock Exchange
at $51.
1. A stock dividend of 15% is declared and issued at the fair value
of the shares. Prepare the appropriate journal entries.
Account Titles and Explanation
Debit
Credit
(To record declaration of stock dividend)
(To record distribution of...
Goff Corporation acquired stock of Spiegel, Inc., on March 1,
2016, at a cost of $500,000....
Goff Corporation acquired stock of Spiegel, Inc., on March 1,
2016, at a cost of $500,000. The stock had a fair value of $550,000
at December 31, 2016, $610,000 at December 31, 2017, and $590,000
at December 31, 2018. Goff sold the stock for $640,000 on July 1,
2019. Spiegel did not pay any dividends during the time Goff held
the stock.
When Goff acquired the stock, it classified the investment as
available-for-sale. However, Goff transitioned to the new
accounting...