Comprehensive Acc Prob

This is a comprehensive problem all contained on this spreadsheet tab.

	The stockholders equity section of the balance sheet of Frederick Mining Company is as follows:

	Frederick Mining Company
	Equity Section of Balance Sheet as of January 1, 2016
	Common stock, $10 par value, 200,000 shares authorized
	120,000 shares issued	1,200,000
	Paid-in capital in excess of par value	3,711,250
	Retained earnings	4,651,255
	Total equity	$ 9,562,505


	REQUIRED:
	1. Create a journal entry (if needed) for each of the following items.
	2. Prepare an updated equity section of the balance sheet as of December 31, 2016. Scroll down past the journal entry section to see the heading for this.

28/01/2016	Frederick Mining enters into a loan-modification agreement with the bank, agreeing to appropriate $550,000 of retained earnings to loan repayment.
15/02/2016	Frederick Mining board of directors declares a $1.50-per-share dividend payable on 3/31/2016 to shareholders of record as of 3/15/2016. Frederick uses a dividends account to record dividends declared.
31/03/2016	Cash dividend declared on 2/15/2016 is paid.
22/07/2016	Frederick Mining board of directors declares a 10% stock dividend to be paid 8/15/2016 to shareholders of record as of 8/1/2016. The market value of the stock is $59 immediately prior to the declaration.
15/08/2016	Stock dividend declared on 7/22/16 is paid.
18/09/2016	Frederick Mining buys back 6,000 shares of company stock on the open market for $52 per share. The purchased shares are not retired but are held in treasury.
31/12/2016	Frederick Mining had the following income and expense account balance as of 12/31/2016. Close out income.

9 years ago

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accounting_journal.xlsx