Question
In: Finance
Gilligan Corporation was established on February 15, Year 1. Gilligan is authorized to issue 500,000 shares...
Gilligan Corporation was established on February 15, Year 1. Gilligan is authorized to issue 500,000 shares of $6.00 par value common stock. As of December 30, Year 1, Gilligan's stockholders' equity accounts report the following balances: Common stock, $6 par, 500,000 shares authorized 55,000 shares issued and outstanding $ 330,000 Paid-in capital in excess of par - Common 440,000 $ 770,000 Retained earnings 1,400,000 Total Stockholders' Equity $ 2,170,000 On December 31, Year 1, Gilligan decides to issue a 5% stock dividend. At the time of issue, the market price of the stock was $22 per share.
How will the issuance of the stock dividend affect the financial statements?
Solutions
jeff jeffy answered 1 month agoRelated Solutions
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Jun
1
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Jun
5
Issued 100,000 of $4 cumulative preferred shares at $22 per
share.
Jul
25
Lawyers for the company accepted 250 common shares as payment
for legal services
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McGregor Corporation is authorized to issue an unlimited number of common shares and 500,000 shares of...
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of common shares and 500,000 shares of preferred shares. During
2021, its first year of operation, the company had profit of
$305,000. The following share transactions occurred:
Jun
1
Paid the province $1,800 for incorporation fees.
Jun
5
Issued 100,000 of $4 cumulative preferred shares at $22 per
share.
Jul
25
Lawyers for the company accepted 250 common shares as payment
for legal services
provided in helping the company incorporate. The...
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Required:
Determine the proceeds that the company will receive if it sells
the following: (Click here to access the tables to use with this
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DeLong Corporation was organized on January 1, 2020. It is authorized to issue 10,000 shares of...
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authorized to issue 10,000 shares of 8%, $100 par value preferred
stock, and 500,000 shares of no-par common stock with a stated
value of $2 per share. The following stock transactions were
completed during the first year.
Jan.
10
Issued 80,000 shares of common stock for cash at $4 per
share.
Mar.
1
Issued 5,000 shares of preferred stock for cash at $105 per
share.
Apr.
1
Issued 24,000 shares...
DeLong Corporation was organized on January 1, 2020. It is authorized to issue 10,000 shares of...
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authorized to issue 10,000 shares of 8%, $100 par value preferred
stock, and 500,000 shares of no-par common stock with a stated
value of $2 per share. The following stock transactions were
completed during the first year.
Jan.
10
Issued 80,000 shares of common stock for cash at $4 per
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Mar.
1
Issued 5,000 shares of preferred stock for cash at $105 per
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Apr.
1
Issued 24,000 shares...
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Jan.
10
Issued 75,500 shares of common stock for cash at $6 per
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Mar.
1
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share transactions were completed during the first year.
Jan.
1
Issued 77,000 common shares for
cash at $3 per share.
Mar.
1
Issued 12,400 preferred shares for
cash at $56 per share.
May
1
Issued 123,000 common shares for
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Sept.
1
Issued 4,500 common shares for cash...
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