Question

In: Accounting

Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...

Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016:

Common stock—$25 par value, 50,000 shares authorized,
31,000 shares issued and outstanding
$ 775,000
Paid-in capital in excess of par value, common stock 62,000
Retained earnings 343,000
Total stockholders’ equity $ 1,180,000


In year 2017, the following transactions affected its stockholders’ equity accounts.

Jan. 2 Purchased 3,100 shares of its own stock at $25 cash per share.
Jan. 7 Directors declared a $1.50 per share cash dividend payable on February 28 to the February 9 stockholders of record.
Feb. 28 Paid the dividend declared on January 7.
July 9 Sold 1,240 of its treasury shares at $30 cash per share.
Aug. 27 Sold 1,550 of its treasury shares at $20 cash per share.
Sept. 9 Directors declared a $2 per share cash dividend payable on October 22 to the September 23 stockholders of record.
Oct. 22 Paid the dividend declared on September 9.
Dec. 31 Closed the $53,000 credit balance (from net income) in the Income Summary account to Retained Earnings.


Required:
1. Prepare journal entries to record each of these transactions for 2017.
2. Prepare a statement of retained earnings for the year ended December 31, 2017.
3. Prepare the stockholders’ equity section of the company’s balance sheet as of December 31, 2017.

Solutions

Expert Solution


Related Solutions

Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 70,000 shares authorized, 46,000 shares issued and outstanding $ 1,150,000 Paid-in capital in excess of par value, common stock 92,000 Retained earnings 396,000 Total stockholders’ equity $ 1,638,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 4,600 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 60,000 shares authorized, 36,000 shares issued and outstanding $ 900,000 Paid-in capital in excess of par value, common stock 72,000 Retained earnings 361,000 Total stockholders’ equity $ 1,333,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 3,600 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 60,000 shares authorized, 36,000 shares issued and outstanding $ 900,000 Paid-in capital in excess of par value, common stock 72,000 Retained earnings 361,000 Total stockholders’ equity $ 1,333,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 3,600 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 50,000 shares authorized, 34,000 shares issued and outstanding $ 850,000 Paid-in capital in excess of par value, common stock 68,000 Retained earnings 354,000 Total stockholders’ equity $ 1,272,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 3,400 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 60,000 shares authorized, 40,000 shares issued and outstanding $ 1,000,000 Paid-in capital in excess of par value, common stock 80,000 Retained earnings 375,000 Total stockholders’ equity $ 1,455,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 4,000 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 60,000 shares authorized, 35,000 shares issued and outstanding $ 875,000 Paid-in capital in excess of par value, common stock 70,000 Retained earnings 357,000 Total stockholders’ equity $ 1,302,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 3,500 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 70,000 shares authorized, 42,000 shares issued and outstanding $ 1,050,000 Paid-in capital in excess of par value, common stock 84,000 Retained earnings 382,000 Total stockholders’ equity $ 1,516,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 4,200 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2016: Common stock—$25 par value, 60,000 shares authorized, 37,000 shares issued and outstanding $ 925,000 Paid-in capital in excess of par value, common stock 74,000 Retained earnings 364,000 Total stockholders’ equity $ 1,363,000 In year 2017, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 3,700 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2017. Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity on December 31, 2017. Common stock—$25 par value, 50,000 shares authorized, 34,000 shares issued and outstanding $ 850,000 Paid-in capital in excess of par value, common stock 68,000 Retained earnings 354,000 Total stockholders’ equity $ 1,272,000 In year 2018, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 3,400 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash dividend...
Alexander Corporation reports the following components of stockholders’ equity at December 31, 2018. Common stock—$25 par...
Alexander Corporation reports the following components of stockholders’ equity at December 31, 2018. Common stock—$25 par value, 50,000 shares authorized, 34,000 shares issued and outstanding $ 850,000 Paid-in capital in excess of par value, common stock 68,000 Retained earnings 354,000 Total stockholders’ equity $ 1,272,000    During the year, the following transactions affected its stockholders’ equity accounts. Jan. 2 Purchased 3,400 shares of its own stock at $25 cash per share. Jan. 7 Directors declared a $1.50 per share cash...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT