3. Jet Corporation had the following balances in its stockholders' equity accounts at December 31,...
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3. Jet Corporation had the following balances in its stockholders' equity accounts at December 31, 2019: Common Stock $5 par, 900,000 shares authorized, 80,000 shares issued, 75,000 shares outstanding Paid-in Capital in Excess of Par, Common Stock Retained Earnings Treasury Stock, 5,000 shares Total stockholders' equity $400,000 1,600,000 900,000 (125,000) $2,775,000 The following transactions occurred during 2020: January 2 May 10 June 10 July 1 December 31 Issued 20,000 shares of common stock for $20 per share. Declared dividends at $0.75 per share. Paid dividends that were declared on May 10. Sold (re-issued) 2,500 shares of the treasury stock for $41 per share. Net income for the year-ended December 31, 2020 was $450,000. Required: a. Based on the above information, prepare the required journal entries for January 2, May 10, June 10, and July 1. b. Present the stockholders' equity section of the balance sheet for Dec. 31 2020. Use Exhibits 11.7, and 11.14 from textbook as guides. c. Calculate EPS d. Is there any cash associated with EPS? YES or NO
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