- 13 1 5 Points Kohler Corporation Reports The Following Components Of Stockholders Equity At December 31 2019 Common S 1 (181.12 KiB) Viewed 23 times
- 13 1 5 Points Kohler Corporation Reports The Following Components Of Stockholders Equity At December 31 2019 Common S 2 (19.31 KiB) Viewed 23 times
- 13 1 5 Points Kohler Corporation Reports The Following Components Of Stockholders Equity At December 31 2019 Common S 3 (17.16 KiB) Viewed 23 times
13 1.5 points Kohler Corporation reports the following components of stockholders' equity at December 31, 2019. Common stock-$25 par value, 100,000 shares authorized, 45,000 shares issued and outstanding Paid-in capital in excess of par value, common stock Retained earnings Total stockholders' equity During 2020, the following transactions affected its stockholders' equity accounts. January 2 Purchased 5,500 shares of its own stock at $15 cash per share. January 5 Directors declared a $4 per share cash dividend payable on February 28 to the February 5 stockholders of record. February 28 Paid the dividend declared on January 5. July 6 Sold 2,063 of its treasury shares at $19 cash per share. August 22 Sold 3,437 of its treasury shares at $12 cash per share. September 5 Directors declared a $4 per share cash dividend payable on October 28 to the September 25 stockholders of record. October 28 Paid the dividend declared on September 5. December 31 Closed the $408,000 credit balance (from net income) in the Income Summary account to Retained Earnings. Required: 1. Prepare journal entries to record each of these transactions. 2. Prepare a statement of retained earnings for the year ended December 31, 2020. 3. Prepare the stockholders' equity section of the company's balance sheet as of December 31, 2020. Complete this question by entering your answers in the tabs below. Required 1 No 1 Prepare journal entries to record each of these transactions. 2 3 4 5 6 Required 2 7 Date January 02 January 05 February 28 July 06 August 22 September 05 October 28 December 31 Required 3 Answer is complete but not entirely correct. Treasury stock, Common Cash Cash Retained earnings Common dividend payable General Journal Common dividend payable Cash Treasury stock, Common Paid-In capital, Treasury stock Cash Retained earnings Paid-In capital, Treasury stock Treasury stock, Common Retained earnings Common dividend payable Common dividend payable Cash Income summary Retained earnings $ 1,125,000 80,000 400,000 $ 1,605,000 < Required 1 • ✔ • ✔ 400 33 。 。 ●●●● • • ›› ›› ✔ ✔ Required 2 > Debit 82,500 400,000 X 400,000 x 39,197 41,244 2,059 8,252 22,000 X 22,000 X 408,000✔ Credit 82,500✔ 400,000 400,000 * 30,945 8,252 51,555 22,000 22,000 X 40,800 X
KOHLER CORPORATION Statement of Retained Earnings For Year Ended December 31, 2020 ✔ S ✓ Beginning retained earnings Add: Net income Less: Cash dividends declared Less: Treasury stock reissuances Ending retained earnings 333 ✓ $ 82,500x 82,500 × 165,000 (422,000) X (2,059) ✔ -259,059 < Required 1 Required 3 >
KOHLER CORPORATION Stockholders' Equity Section of the Balance Sheet December 31, 2020 Common stock - $25 par value Paid-in capital in excess of par value, common stock Total contributed capital Retained earnings Total stockholders' equity $ 137,500 X 8,252 X 145,752 < Required 2 259 x $ 146,011 Required 3 >