Accounting Notes- Day 20

Accounting Notes- Day 20 - Date of payment Dividend payment...

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ACCOUNTING 2000 10/31 Issuing stock at par value : Cash Common Stock Issuing stock at above par value : Cash Common Stock Paid in capital in excess par- common stock Preferred stock : Preference to dividends Preference as to assets in liquidation Nonvoting Ex: 10,000 shares $10 preferred stock @ $12/share Cash (10,000 X 12) 120,000 Preferred Stock (10,000 X 10) 100,000 Paid in capital in excess of par-preferred stock (10,000 X 2) 20,000 Dividend preference -right to receive dividends before common stockholders -cumulative dividend…any unpaid dividends in previous years that will roll over, doesn’t create a liability 4 types of dividends: 1. Cash dividends 2. Property dividends 3. Stock dividends 4. Scrip (promissory note) Declaration date - board authorizes dividends day it becomes liability Dividends Dividends payable Record date - registered shareholders are eligible for dividend (no journal entry)
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Unformatted text preview: Date of payment Dividend payment Cash CLICKER : entries for cash dividends are required on the… Declaration date and payment date EXAM REVIEW: Chapter 5 : perpetual inventory Journal entries, they are posted on moodle Chapter 6 : periodic inventory FIFO, LIFO, weighted average Cost of goods available for sale-ending inventory=COGS Chapter 8 : Receivables A/R (Bad debt expense, % of A/R) N/R (interest expense, P X R X T) Chapter 9 : straight-line depreciation Cost-salvage value/useful life (years) Full year and partial year Chapter 10 : liabilities Current liabilities Sales tax payable and bonds (know definitions) Cash Bonds payable Interest Expense Cash/interest payable Chapter 11 : issuing stock at above par and par Recording dividends *SLIDES ARE ON MOODLE...
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This note was uploaded on 01/19/2012 for the course ACCT 2000 taught by Professor Holmes during the Fall '08 term at LSU.

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Accounting Notes- Day 20 - Date of payment Dividend payment...

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