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dlinn [17]
2 years ago
12

Epic Inc. has 10,600 shares of $2 par value common stock outstanding. Epic declares a 11% stock dividend on July 1 when the stoc

k’s market value is $14 per share. The stock dividend is distributed on July 20. Prepare journal entries for (a) declaration and (b) distribution of the stock dividend.
Business
1 answer:
Sati [7]2 years ago
3 0

Answer:

The Journal entries are as follows:

(1) On July 1,

Retained earnings A/c [1,166 × $14]    Dr.  $16,324

To common stock distributable [1,166 × $2]              $2,332

To paid-in-capital in excess of par- common stock  $13,992

(To record declaration of stock dividend)

(2) On July 20,

common stock distributable A/c         Dr. $2,332

To common stock                                                     $2,332

(To record distribution of the stock dividend)

Workings:

Common stock outstanding = 10,600 shares

Stock dividend declared = 11%

No. of common stock declared as dividend = 10,600 × 11%

                                                                         = 1,166 shares

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Explanation:

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If $1 is 7.69 Krona and $1 is also €0.85 then that means that,

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ii. Following the example of the first question,

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3 years ago
_____ is defined as the tradeoff (or relationship) of the quality of the purchase received, compared to the price paid and other
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Answer:

Value

<h3>What are the value definition and examples?</h3>
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  • An example of value is the amount given by an appraiser after appraising a house.
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3 years ago
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An example of global outsourcing is seen when gap, inc uses low-cost caribbean labor to cheaply produce its clothing, and then f
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Here are data on two companies. The T-bill rate is 5.8% and the market risk premium is 7.4%.
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Answer:

18.38% and 13.2%

Explanation:

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