On December 31, 2016, Turner Corp. had the following balances (all balances are normal):
| Accounts |
Amount
|
|
Preferred Stock, ($100 par value, 5% noncumulative, 50,000 shares authorized, 10,000 shares issued and outstanding)
|
$1,000,000
|
|
Common Stock ($10 par value, 200,000 shares authorized, 100,000 shares issued and outstanding)
|
$1,000,000
|
|
Paid-in Capital in Excess of par, Common
|
150,000
|
|
Retained Earnings
|
700,000
|
The following events occurred during 2016 and WERE NOT RECORDED:
- On January 1, TurnerCorp.declared a 5% stock dividend on its common stock when the market value of the common stock was $12 per share. Stock dividends were distributed on January 31 to shareholders as of January 25.
- On February 15,TurnerCorp. reacquired 1,000 shares of common stock for $15 each.
- On March 31,TurnerCorp.reissued 250 shares of treasury stock for $20 each.
- On July 1,TurnerCorp.reissued 500 shares of treasury stock for $10 each.
- On October 1,TurnerCorp.declared full year dividends for preferred stock and $1.50 cash dividends for outstanding shares and paid shareholders on October 15.
- On December 15,TurnerCorp.split common stock 2 shares for 1.
- Net Income for 2015 was $250,000.
Requirements:
- Prepare journal entries for the transactions listed above.
- Prepare a Stockholders' section of a classified balance sheet as of December 31, 2015 (after taking into consideration your journal entries)