Entries for Stock Dividends Advanced Life Co. is an HMO for businesses in the Albuquerque area. The following account balances appear on the balance sheet of Advanced Life Co.: Common stock (230,000 shares authorized; 5,000 shares issued), $75 par, $375,000; Paid-in capital in excess of par— common stock, $40,000; and Retained earnings, $3,750,000. The board of directors declared a 1% stock dividend when the market price of the stock was $103 a share. Advanced Life Co. reported no income or loss for the current year. a1. Journalize the entry to record the declaration of the dividend, capitalizing an amount equal to market value. If an amount box does not require an entry, leave it blank. fill in the blank 6e65b1fb8f9afd2_2 fill in the blank 6e65b1fb8f9afd2_3 fill in the blank 6e65b1fb8f9afd2_5 fill in the blank 6e65b1fb8f9afd2_6 fill in the blank 6e65b1fb8f9afd2_8 fill in the blank 6e65b1fb8f9afd2_9 a2. Journalize the entry to record the issuance of the stock certificates. If an amount box does not require an entry, leave it blank. fill in the blank 5d9651fe3f9d024_2 fill in the blank 5d9651fe3f9d024_3 fill in the blank 5d9651fe3f9d024_5 fill in the blank 5d9651fe3f9d024_6
Entries for Stock Dividends
Advanced Life Co. is an HMO for businesses in the Albuquerque area. The following account balances appear on the balance sheet of Advanced Life Co.: Common stock (230,000 shares authorized; 5,000 shares issued), $75 par, $375,000; Paid-in capital in excess of par— common stock, $40,000; and Retained earnings, $3,750,000. The board of directors declared a 1% stock dividend when the market price of the stock was $103 a share. Advanced Life Co. reported no income or loss for the current year.
a1.
| fill in the blank 6e65b1fb8f9afd2_2 | fill in the blank 6e65b1fb8f9afd2_3 | ||
| fill in the blank 6e65b1fb8f9afd2_5 | fill in the blank 6e65b1fb8f9afd2_6 | ||
| fill in the blank 6e65b1fb8f9afd2_8 | fill in the blank 6e65b1fb8f9afd2_9 |
a2. Journalize the entry to record the issuance of the stock certificates. If an amount box does not require an entry, leave it blank.
| fill in the blank 5d9651fe3f9d024_2 | fill in the blank 5d9651fe3f9d024_3 | ||
| fill in the blank 5d9651fe3f9d024_5 | fill in the blank 5d9651fe3f9d024_6 |
b. Determine the following amounts before the stock dividend was declared: (1) total paid-in capital, (2) total retained earnings, and (3) total
| Total paid-in capital | $fill in the blank 10024aff4034011_1 |
| Total retained earnings | $fill in the blank 10024aff4034011_2 |
| Total stockholders' equity | $fill in the blank 10024aff4034011_3 |
c. Determine the following amounts after the stock dividend was declared and closing entries were recorded at the end of the year: (1) total paid-in capital, (2) total retained earnings, and (3) total stockholders' equity.
| Total paid-in capital | $fill in the blank 10024aff4034011_4 |
| Total retained earnings | $fill in the blank 10024aff4034011_5 |
| Total stockholders' equity | $fill in the blank 10024aff4034011_6 |
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