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
Annette [7]
2 years ago
8

The stockholders' equity section of Sheridan Company balance sheet at December 31, 2019, appears below:

Business
1 answer:
dimulka [17.4K]2 years ago
6 0

Answer:

Sheridan Company

1. Journal Entries:

Jan. 18 Debit Cash $1,920,000

Credit Common stock $800,000

Credit Paid-in capital in excess of par $1,120,000

To record the issuance of 80,000 shares of common stock at $24 per share.

Aug. 20 Debit Treasury stock $260,000

Debit Paid-in capital in excess of par $416,000

Credit Cash $676,000

To record the repurchase of 26,000 shares of Sheridan Company common stock at $26 per share to be held in the treasury.

Nov. 5 Debit Cash $1,600,000

Credit Common stock $500,000

Credit Paid-in capital in excess of par$1,100,000

To record the issuance of 50,000 shares of common stock at $32 per share.

2. Stockholders' Equity Section of Sheridan Company

Balance Sheet at December 31, 2019:

Paid-in capital

Common stock, $10 par value, 410,000 shares authorized;

330,000 issued and outstanding     $4,600,000

Paid-in capital in excess of par           3,054,000

Treasury stock                                      (260,000)

Total paid-in capital                             7,394,000

Retained earnings                                 900,000

Total stockholders' equity               $8,284,000

Explanation:

a) Data and Calculations:

Stockholders' Equity Section of Sheridan Company

Balance Sheet at December 31, 2019:

Paid-in capital

Common stock, $10 par value, 410,000 shares authorized;

330,000 issued and outstanding     $3,300,000

Paid-in capital in excess of par            1,250,000

Total paid-in capital                             4,550,000

Retained earnings                                  800,000

Total stockholders' equity                $5,350,000

b) Transaction Analysis:

Jan. 18 Cash $1,920,000 Common stock $800,000 Paid-in capital in excess of par $1,120,000

Aug. 20 Treasury stock $260,000 Paid-in capital in excess of par $416,000 Cash $676,000

Nov. 5 Cash $1,600,000 Common stock $500,000 Paid-in capital in excess of par$1,100,000

Common stock:

Dec. 31, 2019:  330,000 issued and outstanding     $3,300,000

Jan. 18, 2020:    80,000 issued of new shares             800,000

Nov. 5, 2020:    50,000 issued of additional shares    500,000

Dec. 31, 2020: 460,000 issued and outstanding    $4,600,000

Paid-in capital in excess of par

December 31, 2019            $ 1,250,000

Jan. 18 issue                           1,120,000

Aug. 20 treasury stock           (416,000)

Nov. 5 issue of new shares  1,100,000

December 31, 2020          $3,054,000

Retained Earnings:

December 31, 2019    $800,000

Net income for 2020    100,000

December 31, 2020  $900,000

You might be interested in
Mill Co.'s trial balance included the following account balances at December 31, Year 6:
o-na [289]

Answer:

D) $45,000

Explanation:

The computation of the amount which is included in the current liability section is shown below:

= Account payable balance + bonds payable -  discount on bonds payable + dividend payable

= $15,000 + $25,000 -  $3,000 + $8,000

= $45,000

The current liability is that liability which is arise for one year. Since, the notes payable is a long term liabilities so we do not consider in the computation part.

4 0
2 years ago
Haver Company currently produces component RX5 for its sole product. The current cost per unit to manufacture the required 66,00
Greeley [361]

Answer:

The incremental cost is $198,000

Explanation:

Given;

Current cost per unit to manufacture = 66,000 units

Direct materials = $5.00

Direct labor= $9.00

Overhead = $10.00

Total cost per unit = $24.00

Incremental costs = $1,254,000 - $1,056,000 = $198,000

7 0
3 years ago
What two steps can you take to help correct this? UC is having issues using Informatica Cloud Louder to export +10MOrder records
Ilia_Sergeevich [38]

Answer:

b, c

<u>Explanation</u>:

Remember, the number of order is quite large over 10 million. Therefore, the best step to carry out is

1. Export in multiple batches: This implies that instead of trying to export the whole batch at once, which might not be possible it is best to export in fewer batches.

2. Use PK Chunking: This method involves the use of an <em>automated system</em> that reduces large orders into smaller chunks.

7 0
2 years ago
Ben and Carla Covington plan to buy a condominium. They will obtain a $229,000, 20-year mortgage at 5.0 percent. Their annual pr
Alla [95]

Answer:

$1,943.06

Explanation:

Monthly mortgage payment: $6.6 X $229 = $1,511.4

Monthly property taxes: $1,550/12 = $129.16

Monthly property insurance: $630/12 =$52.5

Monthly association fee: $250

Total monthly housing payment: $1,943.06

4 0
3 years ago
Read 2 more answers
For federal tax purposes, which of the following is true regarding lump-sum life insurance benefits?
Lorico [155]

Based on the information given, it should be noted that all proceeds are income tax free in the year that they're received.

<h3>What is tax?</h3>

A tax simply means a compulsory levy that's paid by the people or companies to the government. It's important to achieve economic development.

For federal tax purposes regarding lump-sum life insurance benefits, it should be noted that all proceeds are income tax free in the year that they're received.

Learn more about tax on:

brainly.com/question/9437038

7 0
2 years ago
Other questions:
  • The uncontrollable issue of _____ faced by a company abroad is often amplified by the "alien status" of the company, which incre
    9·1 answer
  • Select the items below that describe why scarcity exists.
    8·2 answers
  • Merriweather Post Pavillion received a $820 check from a customer for the balance of accounts due. The transaction was erroneous
    12·1 answer
  • A ________ marketing strategy develops products and promotions designed to please large groups of people
    7·1 answer
  • The_____ will solve for the expected return measured in an investor’s domestic currency for a foreign asset denominated its own
    13·1 answer
  • Bob lives in Miami and runs a business that sells guitars. In an average year, he receives $793,000 from selling guitars. Of thi
    13·1 answer
  • Adam kisses the sleeve of Eve’s blouse, an act to which she did not consent. Has Adam committed a tort and if so, which one? Exp
    6·1 answer
  • Why might it be argued that corporations do not have a comparative advantage when investing in real estate as a means of diversi
    5·1 answer
  • A progressive tax system: __________
    5·1 answer
  • 5 sentences on student wellness
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!