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CSecure htt edugen.wieyplus.com/edugeryltymainun WileyPLUS Kimmel, Accounting, b

ID: 2527836 • Letter: C

Question

CSecure htt edugen.wieyplus.com/edugeryltymainun WileyPLUS Kimmel, Accounting, be Indicate whcthar each of the fallowing transactions would increase, decrae, ornot affect total ases, total abiltis, and total stodkholders' equity. Assets Liabilities Stockholders Equity La) Declarad cash dhidcnd. ) aid cesh disidend dedared in (a), c) Declarad stock dividend (d) Distributed sck dividend declared in (c) Spl stock 3-tor-1 By Ar?esino thik Qukstien Assistanna, yo. wil learn "hil^ yo.. carn points hacen nn the part patential pnlicy set hy your instructor. Question Attempts: of 3 used SAVEON LATER Earn Maximum Points avalable any it you answer this queatian comechy in twc attempts Screenshat saved The streenshot was added ta your E O lype here to search

Explanation / Answer

Answer

Journal Entry

Transaction

Debit

Credit

Assets

Liabilities

Stockholder's Equity

a) Declared cash dividend

Dividends

Dividend payable

Not affected

Increase (with the amount of dividend payable)

Decrease (retained earnings will decrease by the amount of Dividend a/c)

b) Paid cash dividend declared above

Dividend payable

Cash

Decrease (Cash is paid)

Decrease (Dividend payable will be paid)

No effect

c) Declared stock dividend

Dividend

Dividend distributable

Not affected

Increase (with the amount of dividend distributable)

Decrease 9retained earnings will decrease by the amount of Dividend a/c)

d) distributed stock dividend above

Dividend distributable

Common Stock

Not affected

Decrease (Dividend distributable will be distributed)

Increase (Common Stock Value will increase)

e) Split Stock [3 for 1]

Common Stock [Old par]

Common Stock [at new par]

Not affected

Not affected

Not affected

Journal Entry

Transaction

Debit

Credit

Assets

Liabilities

Stockholder's Equity

a) Declared cash dividend

Dividends

Dividend payable

Not affected

Increase (with the amount of dividend payable)

Decrease (retained earnings will decrease by the amount of Dividend a/c)

b) Paid cash dividend declared above

Dividend payable

Cash

Decrease (Cash is paid)

Decrease (Dividend payable will be paid)

No effect

c) Declared stock dividend

Dividend

Dividend distributable

Not affected

Increase (with the amount of dividend distributable)

Decrease 9retained earnings will decrease by the amount of Dividend a/c)

d) distributed stock dividend above

Dividend distributable

Common Stock

Not affected

Decrease (Dividend distributable will be distributed)

Increase (Common Stock Value will increase)

e) Split Stock [3 for 1]

Common Stock [Old par]

Common Stock [at new par]

Not affected

Not affected

Not affected