Please help, I can\'t figure out what I did wrong. Problem 11-2A (Part Level Sub

Question

Please help, I can't figure out what I did wrong.

Problem 11-2A (Part Level Submission) The stockholders' equity accounts of Cheyenne Corp. on January 1, 2017, were as follows. Preferred Stock (7%, $100 par noncumulative, 4,400 shares authorized) Common Stock ($4 stated value, 310,000 shares authorized) Paid-in Capital in Excess of Par Value-Preferred Stock Paid-in Capital in Excess of Stated Value-Common Stoclk Retained Earnings Treasury Stock (4,400 common shares) $264,000 1,033,33:3 13,200 496,000 683,500 35,200 During 2017, the corporation had the following transactions and events pertaining to its stockholders equity Feb. 1 Issued 4,620 shares of common stock for $32,340 Mar 20 Purchased 1,250 additional shares of common treasury stock at $8 per share Oct. 1 Declared a 7% cash dividend on preferred stock, payable November 1 Nov. 1 Paid the dividend declared on October 1 Dec. Declared a $0.85 per share cash dividend to common stockholders of record on December 15, payable December 31, 2017 Dec. 31 Determined that net income for the year was $278,200. Paid the dividend declared on December 1

Explanation / Answer

I have only corrected the journal entries marked in red

Calculation of cash dividends on Dec1:

No of common stock shares outstanding: (1033,333/4) + 4620 - 4400 - 1250 = 257303.25

<4620 is additional shares issued; 4400 is treasury stock; 1250 is additional treasury stock>

Cash dividend declared = 0.85 per share

Hence, total cash dividend = 257303.25 x 0.85 = $218708

Calculation of cash dividends on Dec 31:

Oct 1 cash dividend (as per journal entry): 18480

Dec 1 cash dividend (as per journal entry): 218708

Total cash dividend:                                     237188

Date Account titles Debit Credit Feb 1 Cash 32340 Common stock 18480 Paid-in Capital in excess of stated value-common stock 13860 Dec 1 Cash dividends 218708 Dividends payable 218708 Dec 31 Retained earnings 237188 Cash dividends 237188 Dec 31 Dividends payable 218708 Cash 218708

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