Common stock, 10,500 shares for 2010 at $165,000
and 10,000 shares for 2009 at $140,000
Preferred stock, 5,000 shares for $125,000 in 2010
and $125,000 in 2009
Retained earnings $300,000 in 2010
and $270,000 in 2009
A small stock dividend was declared and issued in 2010. The market value of the shares was $10,500. Cash dividends were $20,000 in both 2010 and 2009. The common stock has no par or stated value.
(a) What was the amount of net income reported by Espy Corp. in 2010?
$ ___________
(b) Determine the amounts of any cash inflows and outflows related to the common stock and dividend accounts in 2010.
Cash inflow $ __________
Cash outflow $__________
and 10,000 shares for 2009 at $140,000
Preferred stock, 5,000 shares for $125,000 in 2010
and $125,000 in 2009
Retained earnings $300,000 in 2010
and $270,000 in 2009
A small stock dividend was declared and issued in 2010. The market value of the shares was $10,500. Cash dividends were $20,000 in both 2010 and 2009. The common stock has no par or stated value.
(a) What was the amount of net income reported by Espy Corp. in 2010?
$ ___________
(b) Determine the amounts of any cash inflows and outflows related to the common stock and dividend accounts in 2010.
Cash inflow $ __________
Cash outflow $__________