Jem100
Jul 29, 2012, 11:42 PM
The Moxley Corporation, on March 1st of this year, declared a 15% stock dividend on its common stock distributable on March 23rd to stockholders of record on March 10th. On March 1st, Moxley's common stock sold at $35 per share; on March 23rd, the stock sold at $32 per share. Moxley's stockholders' equity section of its balance sheet at March 1st showed the following:
Common Stock,$5 par value 150,000 shares authorized, 70,000 shares issued and outstanding... $ 350,000
Additional Paid-in Capital... 210,000
Retained Earnings... 740,000
Total Stockholders' Equity $1,300,000
Required: Prepare the appropriate journal entries on March 1st, March 10th, and March 23rd to record the aforementioned transaction.
Additional: If Michael Potter is a shareholder of the Moxley Corporation of Part II and owns 1,000 shares, ascertain the book value and the market value of his shares on March 1st and on March 23rd.
Common Stock,$5 par value 150,000 shares authorized, 70,000 shares issued and outstanding... $ 350,000
Additional Paid-in Capital... 210,000
Retained Earnings... 740,000
Total Stockholders' Equity $1,300,000
Required: Prepare the appropriate journal entries on March 1st, March 10th, and March 23rd to record the aforementioned transaction.
Additional: If Michael Potter is a shareholder of the Moxley Corporation of Part II and owns 1,000 shares, ascertain the book value and the market value of his shares on March 1st and on March 23rd.