1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Evgesh-ka [11]
3 years ago
8

The board of directors of Capstone Inc. declared a $0.40 per share cash dividend on its $3 par common stock. On the date of decl

aration, there were 51,000 shares authorized, 23,000 shares issued, and 5,000 shares held as treasury stock. What is the entry when the dividends are declared?
Business
2 answers:
dimaraw [331]3 years ago
8 0

Answer: please refer to the explanation section

Explanation:

Dr Retain earnings   9200

Cr         Dividends Payable (liability)   9200

When shares are declared, the company creates an obligation to pay dividends. Declaring Dividends creates a  Liability. Retained earnings account decreases ( Debited ) and Liabilities increase, we credit dividends payable.

Shares held as treasury stock do not receive dividends,

Dividends payable = 23000 shares x 0.40 = 9200

Doss [256]3 years ago
6 0

Answer:

$7,200

Explanation:

To solve this problem, we use the calculation of dividends formula.

This is represented as follows:

Dividends = (Number of shares issued - Treasury stock held) * dividend per share

According to the parameters in the question, number of shares issued = 23,000

Treasury stock held = 5,000

Dividend per share = $0.40

Substituting these values, we have:

Dividends = (23,000-5,000) * $0.4

Dividends = 18,000 * $0.4 = $7,200

The entry when the dividend is declared is $7,200

You might be interested in
According to our records, the account "2UgLy" was removed for breaking many of our guidelines. This includes posting spam/unhelp
BigorU [14]

Answer:

BTW almost everyone ch.ats in the comments, and some people also plagiarize not just that person FYI

8 0
3 years ago
One of the advantages of having a savings account is that the money can be used for emergency purposes, whereas money in bonds,
valentina_108 [34]
TRUE. Hope this helps!
4 0
3 years ago
Read 2 more answers
Young Company is beginning operations and is considering three alternatives to allocate manufacturing overhead to individual uni
ycow [4]

Answer:

d. All ending inventory balances are zero.

Explanation:

Manufacturing overhead is an indirect cost which occurs when the production is done. Examples are Depreciation, Repairs and Maintenance etc.

All ending inventory balances are zero is the correct option because there is no opening balance and any change in net income is recorded in the balance sheet so, there will be no closing balance.

All production costs approach those costs that were budgeted, The sales mix does not vary from the mix that was budgeted and  All manufacturing overhead is a fixed cost are all incorrect.

8 0
2 years ago
Without _____, leaders can miss important signals that something is going wrong. question 2 options:
lisabon 2012 [21]
<span>Without feedback, leaders can miss important signals that something is going wrong.
</span><span>A communication path between them and their employees (a feedback) is very important in order the leaders to be successful and to achieve the desired results and goals.</span>
4 0
3 years ago
A parcel of real estate has been left to a woman through her husband's will for her use and enjoyment during her lifetime, with
wolverine [178]

Answer: A) Remainderman

Explanation:

A Remainderman may sound like something from a horror movie but it is a property law term that refers to a person that is billed to take over or inherit an estate after the LIFE ESTATE of the previous owner is terminated.

Life Estate is an agreement where a person owns a property or asset for the duration of their life but as soon as they pass on, the asset or property reverts back to the original owner of a THIRD party.

The Remainderman is the person who the property reverts to.

In the above scenario therefore, the woman is in possession of a Life Estate but the Stepson is the Remainderman.

7 0
3 years ago
Other questions:
  • 1. Discuss the three components of strategy as they relate to Theo Chocolate's new strategy. – distinctive competence, scope, an
    9·1 answer
  • An october sales forecast projects 7,000 units are going to be sold at a price of $11.50 per unit. the desired ending inventory
    9·1 answer
  • On April 1, 9,000 shares of $7 par common stock were issued at $26, and on April 7, 5,000 shares of $70 par preferred stock were
    9·1 answer
  • Lucille’s dependent husband passed away in January of 2019. She does not remarry and still maintains a residence for herself and
    10·1 answer
  • Suppose you manage a convenience mart and are in charge of ordering products but do not set the price. The home office provides
    11·1 answer
  • The following costs and inventory data were taken from the accounts of Simon Company for 2010:
    6·1 answer
  • Which accounting principle states that a company should "report expenses in the same period as the revenue they help generate"?
    7·1 answer
  • Which activity would a marketer consider to occur at a place, as defined in the four Ps of marketing? A. a person researching ma
    10·1 answer
  • A firm's immediate marketing environment differs from its macroenvironment is that the macroenvironment _____
    7·1 answer
  • What does the government have to do to enforce consumer-protection
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!