Student Name:
Class:
Date Account Debit Credit
Preferred Stock
Cash
December 1, 2018
Dividends
Dividends Payable
October 15, 2018
(Issue preferred stock)
(Declare cash dividends)
Additional Paid-in Capital
Treasury Stock
Additional Paid-in Capital
Cash
December 31, 2018
Dividends Payable
(Pay cash dividends)
46,200
11
46,189 <–Correct!
8,000 <–Correct!
Total
Total Total Stockholders’
Assets Liabilities Equity
Pay cash dividends
Declare cash dividends
Issue preferred stock
Reissue treasury stock
+NE +
–NE –
(Reissue treasury stock above cost)
July 10, 2018
Cash
Additional Paid-in Capital
Requirement 1:
Problem 10-02
Common Stock
DONNIE HILFIGER
March 1, 2018
Cash
McGraw-Hill/Irwin
Instructor
(Issue common stock)
Requirement 2:
Issue common stock
Transaction
Purchase treasury stock
May 15, 2018
Treasury Stock
Cash
(Purchase treasury stock)
1.00$
March 1
Repurchase treasure stock:
Paid cash dividend declared 12/1
Price per share
Issued preferred stock:
Shares issued
Price per share
Declared cash dividend:
Preferred dividend per share
Number of shares
Price per share
Reissue treasure stock purchased May 15:
Number of shares
Common dividend per share
Additional paid-in capital
Retained earnings
Net income for year ending December 31, 2018
1,100
42.00$
300$
40$
DONNIE HILFIGER
Par value of preferred stock
Beginning balances on January 1, 2018
2018 Transactions:
Issued common stock:
Shares issued
Price per share
Common stock
Additional Information:
Preferred stock
Outstanding preferred shares at 1/1/2018
Par value of common stock
Outstanding common shares at 1/1/2018
Interest payable June 30 and December 31
Student Name:
Class:
500$
51
131,989
Net income
Purchase of treasury stock
Sale of treasury stock
Issued preferred stock
Cash dividends
Correct!
Additional Total
Preferred Common Paid-in Retained Treasury Stockholders’
Stock Stock Capital Earnings Stock Equity
300$ 40$ 76,000$ 30,500$ –$ 106,840$
11 46,189 46,200
Problem 10-05
McGraw-Hill/Irwin
Instructor
DONNIE HILFIGER
For the Year Ended December 31, 2018
Statement of Stockholders’ Equity
DONNIE HILFIGER
December 31, 2018
(Stockholders’ Equity Section)
Balance Sheet
Stockholders’ Equity:
Requirement 1:
Preferred stock, $1 par value
Common Stock, $0.01 par value
Additional paid-in capital
Requirement 2:
Balance, January 1
Issued common stock
Total paid-in capital
Retained Earnings
Treasury stock, 200 shares
1.00$
300
March 1
Price per share
Repurchase treasure stock:
Number of shares
Price per share
Reissue treasure stock purchased May 15:
Number of shares
Price per share
Net income for year ending December 31, 2018
Preferred stock
Common stock
Additional paid-in capital
Retained earnings
Common dividend per share
Paid cash dividend declared 12/1
Declared cash dividend:
Preferred dividend per share
1,100
October 15
200
45.00$
DONNIE HILFIGER
Par value of preferred stock
Outstanding preferred shares at 1/1/2018
2018 Transactions:
Issued common stock:
Shares issued
Additional Information:
Beginning balances on January 1, 2018
Price per share
Issued preferred stock:
Shares issued
Par value of common stock
Outstanding common shares at 1/1/2018
Interest payable June 30 and December 31
Student Name:
Class:
Date Account Debit Credit
Cash
(Pay cash dividends)
Dividends Payable
December 30, 2018
Dividends Payable
(Declare cash dividends)
May 31, 2018
Cash
Treasury Stock
Additional Paid-in Capital
7,700,000
660,000
660,000 <–Correct!
Requirement 2:
Treasury stock, 5,500 shares
Additional paid-in capital
Total paid-in capital
Retained Earnings
600,000$
110,000
Preferred stock, $10 par value
Stockholders’ Equity:
Common Stock, $1 par value
December 31, 2018
May 8, 2018
Treasury Stock
Cash
MAJOR LEAGUE APPAREL
Balance Sheet
(Stockholders’ Equity Section)
Requirement 1:
(Purchase treasury stock)
McGraw-Hill/Irwin
Instructor
(Reissue treasury stock above cost)
Problem 10-06
MAJOR LEAGUE APPAREL
January 2, 2018
Cash
Additional Paid-in Capital
February 14, 2018
(Issue common stock above par)
(Issue preferred stock above par)
Cash
Preferred Stock
Common Stock
Additional Paid-in Capital
110,000
70.00$
60,000
MAJOR LEAGUE APPAREL
Stock authorized:
Preferred stock, 6%, $10 par
Common stock, $1 par
2018 Transactions:
January 2
Issued shares of common stock
Issue price per share
February 14
Issued shares of preferred stock
Issue price per share
May 8
Repurchased shares of common stock
Repurchase price per share
December 30
Paid cash dividend declared on December 1
Net income for year ending December 31, 2018
May 31
Reissue share of treasury stock
Reissue price per share
December 1
Declared 6% of par value cash dividend on preferred stock
Declared per share cash dividend on common stock