Home / Questions / On January 1 2015 Wirth Corporation a publicly traded company had these shareholders’ equi...

On January 1 2015 Wirth Corporation a publicly traded company had these shareholders’ equity accounts Common shares unlimited number of shares authorized 110000 shares issued

On January 1, 2015, Wirth Corporation, a publicly traded company, had these shareholders’ equity accounts: Common shares (unlimited number of shares authorized, 110,000 shares issued) …………………………………………..$1,100,000 Retained earnings ………………………………………………. 540,000 Accumulated other comprehensive income ……………………. 60,000 During the year, the following transactions occurred: Jan. 15 Declared a $1 per share cash dividend to shareholders of record on January 31, payable February 15. Apr. 15 Declared a 10% stock dividend to shareholders of record on April 30, distributable May 15. On April 15, April 30, and May 15, the share prices were $15, $13.50, and $14, respectively. Oct. 1 Effected a 2-for-1 stock split. On October 1, the share price was $20. Dec. 31 Determined that profit for the year was $350,000. Instructions (a) Record the above transactions, including any required entries to close dividends and profit to Retained Earnings. (b) Open T accounts as required and post to the shareholders’ equity accounts. (c) Prepare a statement of changes in equity for the year. (d) Prepare the shareholders’ equity section of the statement of financial position at December 31. View Solution:

Apr 01 2020 Read more Less More

Answer (Solved)

question Subscribe To Get Solution

Recent Questions

Chat Now

Welcome to Live Chat

Welcome to MyCourseHelp Services, World's leading Academic solutions provider with Millions of Happy Students.

Please fill in the form