Accounting 202

11.)

Item | Assets | Liabilities | Stockholders’Equity | Paid-inCapital | RetainedEarnings | NetIncome |

1 | I | NE | I | NE | I | I |

2 | NE | I | D | NE | D | NE |

3 | NE | NE | NE | NE | NE | NE |

4 | NE | NE | NE | NE | NE | NE |

5 | D | NE | D | NE | D | D |

6 | D | D | NE | NE | NE | NE |

7 | NE | I | D | NE | D | D |

8 | NE | NE | NE | I | D | NE |

9 | NE | NE | NE | NE | NE | NE |

12.)

a.) Jun Retained Earnings $8,000,000

1 Dividends Payable $8,000,000

Jun No Entry

14

Jun Dividends Payable $8,000,000

30 Cash $8,000,000

b.) If the dividends were a liquidating dividend there would be a debt to paid-in capital.

13.)

a.) No entry-Memorandum note

b.) Retained Earnings $90,000,000

Common Stock Dividend Distributable $90,000,000

Common Stock Dividend Distributable 90,000,000

Common Stock 90,000,000

c.) They both increase the number of shares outstanding. Stock split decreases the par and a stock dividend does not decrease the par.

15.)

a.) Retained Earnings $97,500

Common Stock Dividend Distributable $25,000

Paid-in Capital in Excess of Par 72,500

Common Stock Dividend Distributable 25,000

Common Stock 25,000

b.) No entry-Memorandum note.

c.) Investments $35,000

Gain on Appreciation of Investments $35,000

Retained Earnings 135,000

Property Dividends Payable 135,000

Property Dividends Payable 135,000

Investments 135,000

16.) Total income since incorporation $317,000

Less: Total cash dividends paid (60,000)

Total value of stock dividends distributed (30,000)

Current...