loader  Loading... Please wait...

Question(s) / Instruction(s):

Allyn, Inc., has the following owners\' equity section in its November 30, 2010, balance sheet:

Paid-in capital:                                   

14% preferred stock, $68 par value, 1,500 shares

authorized, issued,and outstanding                                                        $?          

Common stock, $8 par value, 150,000 shares

authorized, ? shares issued, ? shares outstanding                            240,000

 Additional paid-in capital on common stock                                       510,000

Additional paid-in capital from treasury stock                                     13,000  

Retained earnings                                                                                          81,000  

 Less: Treasury stock, at cost (1,900 shares of common)                (18,000)

 Total stockholders\' equity                                                                           $?          

Required:

(a)          Calculate the amount of the total annual dividend requirement on preferred stock. (

(b)          Calculate the amount that should be shown on the balance sheet for preferred stock.

(c)           Calculate the number of shares of common stock that are issued and the number of shares of common stock that are outstanding.

(d)          On January 1, 2010, the firm\'s balance sheet showed common stock of $200,000 and additional paid-in capital on common stock of $470,000. The only transaction affecting these accounts during 2010 was the sale of some common stock. Calculate the number of shares that were sold and the selling price per share. (Round your answers to the nearest whole number.

(e)          Describe the transaction that resulted in the additional paid-in capital from treasury stock.

(f)           The retained earnings balance on January 1, 2010, was $99,000. Net income for the past 11 months has been $38,000. Preferred stock dividends for all of 2010 have been declared and paid. Calculate the amount of dividends on common stock during the first 11 months of 2010. 

Find Similar Answers by Subject


Student Reviews

Rate and review your solution! (Please rate on a Scale of 1 - 5. Top Rating is 5.)


Expert's Answer
Download Solution:
$3.00

This solution includes:

  • Plain text
  • Cited sources when necessary
  • Attached file(s)
  • Solution Document(s)



Reach Us

408-538-8534

20-3582-4059

39-008-4233

+1-408-904-6494