On January 1 Guillen Corporation had 95000 shares of nopar c

On January 1, Guillen Corporation had 95,000 shares of no-par common stock issued and outstanding. The stock has a stated value of $5 per share. During the year, the following occurred.

(a)

Prepare the entries to record these transactions. (If no entry is required, select \"No entry\" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

Apr.	1	Issued 25,000 additional shares of common stock for $17 per share.
June	15	Declared a cash dividend of $1 per share to stockholders of record on June 30.
July	10	Paid the $1 cash dividend.
Dec.	1	Issued 2,000 additional shares of common stock for $19 per share.
	15	Declared a cash dividend on outstanding shares of $1.2 per share to stockholders of record on December 31.

Journal Entry Worksheet

Guillen Corporation

(Dividend Declared @1 Per shares issued)

Total shares issued = 25000+95000 = 120000

Dividend @ $1 = $1*120000 = $120000

Serial Number	Date	Accounts Title	Debit	Credit
1	April 1	Cash (25000*$17)	$425000
		Common Stock		$425000
		(Being 25000 Shares Issued @ $17 Each in cash & Such shares has no Par value)

2	June 15	Retained Earningd	$120000
		Dividend Payable		$120000
		(Dividend Declared @1 Per shares issued) Total shares issued = 25000+95000 = 120000 Dividend @ $1 = $1*120000 = $120000

3	July 10	Dividend Payable	$120000
		Cash		$120000
		(Dividend Paid in cash)

4	December 1	Cash (2000*$19)	$38000
		Common stock		$38000
		(2000 Shares issued @ $19 Per share in cash)

5	December 15	Retained Earnings	$146400
		Dividend Payable		$146400
		(Dividend Declared @ $1.2 per share on Total 122000 Shares (120000+2000)

On January 1 Guillen Corporation had 95000 shares of nopar c

Solution

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