Exercise 15-9 Kingbird Corporation has 11,600 shares of $100 par value, 9%, preferred stock and 48,200...

Exercise 15-9 Kingbird Corporation has 11,600 shares of $100 par value, 9%, preferred stock and 48,200 shares of $10 par value common stock outstanding at December 31, 2017. Answer the questions in each of the following independent situations. (a) If the preferred stock is cumulative and dividends were last paid on the preferred stock on December 31, 2014, what are the dividends in arrears at December 31, 2017? Amount of dividends in arrears $ How should these dividends be reported? The cumulative dividend is as a liability. (b) If the preferred stock is convertible into 6 shares of $10 par value common stock and 3,300 shares are converted, what entry is required for the conversion assuming the preferred stock was issued at par value? (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit (c) If the preferred stock was issued at $106 per share, how should the preferred stock be reported in the stockholders’ equity section? (Enter account name only and do not provide descriptive information.) Kingbird Corporation Balance Sheet (Partial) $

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Exercise 15-8 Otis Thorpe Corporation has 10,000 shares of $100 par value, 8% preferred stock and...

Exercise 15-8 Otis Thorpe Corporation has 10,000 shares of $100 par value, 8% preferred stock and 50,000 shares of $10 par value common stock outstanding at December 31, 2014.Answer the questions in each of the following independent situations.(a) If the preferred stock is cumulative and dividends were last paid on the preferred stock on December 31, 2011, what are the dividends in arrears that should be reported on the December 31, 2014, balance sheet? The dividends in arrears to be...

Nottebart Corporation has outstanding 10,000 shares of $100 par value, 6% preferred stock and 60,000 shares...

Nottebart Corporation has outstanding 10,000 shares of $100 par value, 6% preferred stock and 60,000 shares of $10 par value common stock. The preferred stock was issued in January 2017, and no dividends were declared in 2017 or 2018. In 2019, Nottebart declares a cash dividend of $300,000. How will the dividend be shared by common and preferred stockholders if the preferred is (a) noncumulative and (b) cumulative?

On June 1, Summit Corporation issued 1,000 shares of $100 par value preferred stock at par...

On June 1, Summit Corporation issued 1,000 shares of $100 par value preferred stock at par value. On June 10, the corporation issued 3,000 shares of $10 par value common stock for $18 per share. On June 15, Summit issued 15,000 shares of common stock in exchange for land with a fair market value of $60,000 and a building with a fair market value of $180,000. Prepare journal entries for the above transactions.

Sturdley Corporation has 20,000 shares of $100 par value, 7% cumulative preferred stock outstanding and 100,000...

Sturdley Corporation has 20,000 shares of $100 par value, 7% cumulative preferred stock outstanding and 100,000 of its $1 par value common stock outstanding. In their first four years of operation they paid the following cash dividends: 2016 -0- 2017 $240,000 2018 $280,000 2019 $180,000 Determine the total cash dividends paid during the four years with preferred stock as cumulative and then calculate it again with the preferred stock as non-cumulative.

COST OF PREFERRED STOCK 15. A preferred stock paying a 7.5% dividend on par value ($100...

COST OF PREFERRED STOCK 15. A preferred stock paying a 7.5% dividend on par value ($100 Par) can be sold to net $65 per share. Tax rate is 34%. What is the cost of preferred stock to the firm? 16. Compute the cost of internal equity (or retained earnings) when the current market price of the common stock is $32. The expected dividend this forthcoming year is $1.75 increasing thereafter at a 6.5% annual rate.

Dividends Keener Company has had 700 shares of 9%, $100 par preferred stock and 46,000 shares...

Dividends Keener Company has had 700 shares of 9%, $100 par preferred stock and 46,000 shares of $5 stated-value common stock outstanding for the last 3 years. During that period, dividends paid totaled $5,200, $33,800, and $38,100 for each year, respectively. Required: Compute the amount of dividends that Keener must have paid to preferred shareholders and common shareholders in each of the 3 years, given the following 3 independent assumptions: If an amount is zero, enter "0". 1. Preferred stock...

Mendez Corporation has 10,000 shares of its $100 par value, 7 percent cumulative preferred stock outstanding...

Mendez Corporation has 10,000 shares of its $100 par value, 7 percent cumulative preferred stock outstanding and 50,000 shares of its $1 par value common stock outstanding. In Mendez’s first four years of operation, its board of directors paid the following cash dividends: 2011, none; 2012, $120,000; 2013, $140,000; 2014, $140,000. Determine the dividends per share and total cash dividends paid to the preferred and common stockholders during each of the four years.

On July 1, Hanson Corporation issued 10 shares of $100 par value preferred stock for cash...

On July 1, Hanson Corporation issued 10 shares of $100 par value preferred stock for cash of $1,000 per share. Complete the necessary journal entry by selecting the account names from the drop-down menus and entering the dollar amounts in the debit or credit columns. On July 1, Hanson Corporation issued 10 shares of $100 par value preferred stock for cash of $1,000 per share.

Exercise 15-21 The outstanding capital stock of Waterway Corporation consists of 2,000 shares of $100 par...

Exercise 15-21 The outstanding capital stock of Waterway Corporation consists of 2,000 shares of $100 par value, 8% preferred, and 5,100 shares of $50 par value common. Assuming that the company has retained earnings of $86,000, all of which is to be paid out in dividends, and that preferred dividends were not paid during the 2 years preceding the current year, state how much each class of stock should receive under each of the following conditions. (a) The preferred stock...

The outstanding capital stock of Teal Corporation consists of 2000 shares of $100 par value, 9%...

The outstanding capital stock of Teal Corporation consists of 2000 shares of $100 par value, 9% preferred, and 5400 shares of $50 par value common. Assuming that the company has retained earnings of $89000, all of which is to be paid out in dividends, and that preferred dividends were not paid during the 2 years preceding the current year, state how much each class of stock should receive under each of the following conditions. (a) The preferred stock is noncumulative...

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