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hoa [83]
3 years ago
15

Prepare journal entries to record the declaration and payment of these stock and cash dividends. 2. Prepare the December 31, 202

1, shareholders' equity section of the balance sheet for the Nicklaus Corporation. (Assume net income for the fourth quarter was $2,250,000.) 3. Prepare a statement of shareholders' equity for Nicklaus Corporation for 2021.
Business
1 answer:
erma4kov [3.2K]3 years ago
5 0

Answer:

Retained Earning (Dr.) $295,000

Stock Dividend Payable (Cr.) $295,000

To record stock dividend

Retained Earnings (Dr.) $157,800

Cash (Dr.) $157,800

To record cash dividend

Explanation:

Statement of Shareholder's Equity

Retained Earnings Beginning Jan 21 $1,275,000

Net Income $2,250,000

Cash Dividend $157,800

Stock Dividend $295,000

Retained Earning Ending $3,072,200

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Explanation:

S/No        Date        Transaction          Dr($)          Cr($)

1             Oct.1         Rent Expense      3,600

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2.           Oct.3        Advert. Expenses  1,200

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3.            Oct.5           Supplies              750

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4             Oct.6       Office equipment     8000

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5             Oct.10               Cash                1 4,800

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6              Oct.15    Accounts payable      7,110

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7.              Oct.27    Miscellaneous             400

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