acct. hw need calculations shown and proper journal entries
chasfl
ch_11_worksheet.docChapter 11
Quick Study 11-16 (10 minutes)
Total stockholders' equity |
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Less equity attributable to preferred shares: |
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Call price (10,000 shares x $30) |
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Equity applicable to common shares |
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Book value of common shares ($620,000/75,000 shares) |
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PROBLEM SET A
Problem 11-1A (30 minutes)
Part 1
a. To record sale of 5,000 shares of $25 par value common stock for $30 per share.
b. To record issuance of 2,500 shares of $25 par value common stock to the company’s promoters for their efforts in organizing the company when the market value is $30 per share.
c. To record acquisition of assets and liabilities by issuing 1,000 shares of $25 par value common stock at $40 per share.
d. To record sale of 1,500 shares of $25 par value common stock for $40 per share.
Part 2
Number of outstanding shares
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Issued in (a) |
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Issued in (b) |
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Issued in (c) |
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Issued in (d) |
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Total |
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Part 3
Minimum legal capital =
Part 4
Total contributed capital from common stockholders
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From transaction (a) |
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From transaction (b) |
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From transaction (c) |
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From transaction (d) |
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Total contributed capital |
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Part 5
Book value per common share
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Total stockholders’ equity (given) |
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Outstanding shares (from Part 2) |
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Book value per common share |
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Calculations: |
Problem 11-2A (60 minutes)
Part 1 You can place your calculations in the description line
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Jan. 1 |
Treasury Stock, Common |
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Cash |
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Jan. 5 |
Retained Earnings |
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Common Dividend Payable |
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Feb. 28 |
Common Dividend Payable |
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Cash |
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July 6 |
Cash* |
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Treasury Stock, Common** |
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Aug. 22 |
Cash* |
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Paid-In Capital, Treasury Stock |
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Retained Earnings |
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Treasury Stock, Common** |
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Sept. 5 |
Retained Earnings |
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Common Dividend Payable |
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Oct. 28 |
Common Dividend Payable |
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Cash |
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Dec. 31 |
Income Summary |
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Retained Earnings |
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Part 2
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CONTEXT CORPORATION Statement of Retained Earnings For Year Ended December 31, 2012 |
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Retained earnings, Dec. 31, 2011 |
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Plus net income |
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Less: Cash dividends declared |
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Treasury stock reissuances |
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Retained earnings, Dec. 31, 2012 |
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Part 3
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conText CORPORATION Stockholders’ Equity Section of the Balance Sheet December 31, 2012 |
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Common stock($10 par value, 50,000 shares authorized, 20,000 shares issued and outstanding |
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Paid-in capital in excess of par value, common stock |
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Total contributed capital |
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Retained earnings (from part 2) |
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Total stockholders’ equity |
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Ethics Challenge — BTN 11-3
©McGraw-Hill Companies, 2012
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Financial Accounting, 6th Edition
©McGraw-Hill Companies, 2012
595
Solutions Manual, Chapter 11
