1.On Nov 1, JKC, Inc.'s Board of Directors declared a cash dividend for the outstanding shares of common stock. The dividend will be paid on Dec 31 to stockholders of record on Dec 1. On Nov 1, JKC will have to
Record a dividend payable
Record an expense
Decrease the cash account
Do nothing
2.On Nov 1, JKC, Incâs Board of Directors declared a cash dividend for the outstanding shares of common stock. The dividend will be paid on Dec 31st to stockholders of record on Dec 1. From the previous example, On Dec 31st, JKC will have to
Record a dividend payable
Record an expense
Decrease the cash account
Do nothing
3.If a company wants to study the behavior of their financial statement items over several accounting periods to assess trends, it would most likely use
Ratio analysis
Vertical analysis
Horizontal analysis
Benchmarking
4.A company's ability to pay its short term obligations is best known as its
Leverage
Liquidity
Operational control
Margins
5.Earnings per share measures
The preferred dividends paid by the company
The amount of taxes the company must pay for each share of stock
How much income was earned by the Board of Directors
How much income was earned for each share of common stock outstanding
1.On Nov 1, JKC, Inc.'s Board of Directors declared a cash dividend for the outstanding shares of common stock. The dividend will be paid on Dec 31 to stockholders of record on Dec 1. On Nov 1, JKC will have to
| Record a dividend payable | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Record an expense | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Decrease the cash account | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Do nothing 2.On Nov 1, JKC, Incâs Board of Directors declared a cash dividend for the outstanding shares of common stock. The dividend will be paid on Dec 31st to stockholders of record on Dec 1. From the previous example, On Dec 31st, JKC will have to
|
Related questions
Exercise 11-2 Sheridan Company had these transactions during the current period. June 12 Issued 84,000 shares of $1 par value common stock for cash of $315,000. July 11 Issued 3,400 shares of $102 par value preferred stock for cash at $107 per share. Nov. 28 Purchased 1,350 shares of treasury stock for $8,150.
Prepare the journal entries for the Sheridan Company transactions shown above.
On January 1, Marigold Corp. had 61,700 shares of no-par common stock issued and outstanding. The stock has a stated value of $4 per share. During the year, the following transactions occurred.
| Apr. 1 | Issued 12,600 additional shares of common stock for $12 per share. | |
| June 15 | Declared a cash dividend of $1.50 per share to stockholders of record on June 30. | |
| July 10 | Paid the $1.50 cash dividend. | |
| Dec. 1 | Issued 5,600 additional shares of common stock for $11 per share. | |
| Dec. 15 | Declared a cash dividend on outstanding shares of $1.70 per share to stockholders of record on December 31. |
| (a) | Prepare the entries, if any, on each of the three dates that involved dividends. |
