50.1K

Verified Solution

Link Copied!

1 View transaction list 11.11 points 1 > Record the issuance of 45,000 additional shares of $1 par value common stock for $42 per share. eBook non stock 2 Hint Record the purchase of 4,000 shares of treasury stock for $45 per share. References 3 Record the declaration of a cash dividend of $1.00 per share to all stockholders of record on June 15. (Hint: Dividends are not paid on treasury stock.) Credit 4 Record payment of the cash dividend declared on June 1. 5 Record the resale of 2,000 shares of treasury stock purchased on May 10 for $50 per share. Note : = journal entry has been entered Record entry Clear entry View general journal Check my work 1 Power Drive Corporation designs and produces a line of golf equipment and golf apparel. Power Drive has 100,000 shares of common stock outstanding as of the beginning of 2021. Power Drive has the following transactions affecting stockholders' equity in 2021. 11.11 points March 1 Issues 45,000 additional shares of $1 par value common stock for $42 per share. May 10 Purchases 4,000 shares of treasury stock for $45 per share. June 1 Declares a cash dividend of $1.00 per share to all stockholders of record on June 15. (Hint: Dividends are not paid on treasury stock.) July 1 Pays the cash dividend declared on June 1. October 21 Resells 2,000 shares of treasury stock purchased on May 10 for $50 per share. eBook Hint References Required: Record each of these transactions. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet

Answer & Explanation Solved by verified expert

See Answer