Week 8 Questions.docx - Exercise 8 Brief Exercises BE15-8 Sprinkle Inc has outstanding 10,000 shares of $10 par value common stock On July 1 2017

Week 8 Questions.docx - Exercise 8 Brief Exercises BE15-8...

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Exercise 8Brief Exercises: BE15-8Sprinkle Inc. has outstanding 10,000 shares of $10 par value common stock OnJuly 1, 2017, Sprinkle reacquired 100 shares at $87 per share. On September 1, Sprinklereissued 60 shares at $90 per share. On November 1, Sprinkle reissued 40 shares at $83per share. Prepare Sprinkle's journal entries to record these transactions using the cost method. BE15-9Arantxa Corporation has outstanding 20,000 shares of $5 par value common stock. On August 1, 2017, Arantxa reacquired 200 shares at $80 per share. On November 1, Arantxa reissued the 200 shares at $70 per share. Arantxa had no previous treasury stock transactions. Prepare Arantxa's journal entries to record these transactions using the cost method.
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Treasury Stock16,000BE15-10Woolford Inc. declared a cash dividend of $1.00 per share on its 2 million outstanding shares. The dividend was declared on August 1, payable on September 9 toall stockholders of record on August 15. Prepare all journal entries necessary on those three dates. BE15-11Cole Inc. owns shares of Marlin Corporation stock At December 31, 2017, the securities were carried in Cole's accounting records at their cost of $875,000, which equals their fair value. On September 21, 2018, when the fair value of the securities was $1,200,000, Cole declared a property dividend whereby the Marlin securities are to be distributed on October 23, 2018, to stockholders of record on October 8, 2018. Prepare all journal entries necessary on those three dates.
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Exercises:
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