Record transfer of net loss to retained earnings. Record transfer of net income

Question

Record transfer of net loss to retained earnings.

Record transfer of net income to retained earnings.

Record repurchase of shares for retirement.

Record declaration of cash dividend.

Record payment of cash dividend.

Record transfer of net income to retained earnings.

Record issue of stock dividend.

Record declaration of cash dividend.

Record payment of cash dividend.

At December 31, 2015, common shares consisted of the following: Common stock, 1,790,000 shares at $i par $ 1,790,000 Paid-in capital-excess of par 12,530,000

Explanation / Answer

Solution:

Journal Entries - Renn Dever Corporation Year Particulars Debit Credit 2016 Retained Earnings Dr $159,000.00            To Income Statement $159,000.00 (Being loss transferred to retained earnings) 2017 Income Statement Dr $2,220,900.00            To Retained earnings $2,220,900.00 (Being income transferred to retained earnings) 2017 Common Stock Dr $114,000.00 Paid in capital in excess of Par Dr $798,000.00 Retained Earnings Dr $228,000.00            To Cash $1,140,000.00 (Being shares reacquired and retired) 2017 Retained Earnings Dr $728,000.00            To Dividend Payable $728,000.00 (Being dividend declared on common stock) 2017 Dividend Payable Dr $728,000.00            To Cash $728,000.00 (To record dividend payment) 2018 Income Statement Dr $3,348,700.00            To Retained earnings $3,348,700.00 (Being income transferred to retained earnings) 2018 Retained Earnings Dr $231,000.00            To Common Stock $33,000.00            To Paid up capital in exess of par $198,000.00 (To record stock dividend) 2018 Retained Earnings Dr $869,950.00            To Dividend Payable $869,950.00 (Being dividend declared on common stock) 2018 Dividend Payable Dr $869,950.00            To Cash $869,950.00 (To record dividend payment)

Related Questions

Navigate

• Browse (All)
• Browse R
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.