Homework SourseOn January 1 Martinez Corp had 61800 shares of nopar common
On January 1, Martinez Corp. had 61,800 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 13,050 additional shares of common stock for $11 per share. | |
| June 15 | Declared a cash dividend of $1.60 per share to stockholders of record on June 30. | |
| July 10 | Paid the $1.60 cash dividend. | |
| Dec. 1 | Issued 5,800 additional shares of common stock for $12 per share. | |
| Dec. 15 | Declared a cash dividend on outstanding shares of $2.00 per share to stockholders of record on December 31. |
Solution
(a)
| Date | Account titles and explanation | Debit | Credit |
| June 15 | Cash Dividends | $119,760 | |
| Dividends Payable | $119,760 | ||
| July 10 | Dividends Payable | $119,760 | |
| Cash | $119,760 | ||
| Dec. 15 | Cash Dividends | $161,300 | |
| Dividends Payable | $161,300 |
