(Solved): Current Attempt in Progress (To record declaration of dividend on shares) Income Summary (To cl ...
Current Attempt in Progress โ (To record declaration of dividend on shares) Income Summary (To closed income summary account) On January 5, 2025, Oriole Corporation received a charter granting the right to issue 5,500 shares of
$100par value,
7%cumulative and nonparticipating preferred stock, and 48,400 shares of
$10par value common stock. It then completed these transactions. Jan. 11 Issued 21,900 shares of common stock at
$16per share. Feb. 1 Issued to Sanchez Corp. 3,900 shares of preferred stock for the following assets: equipment with a fair value of
$50,800; a factory building with a fair value of
$169,000; and land with an appraised value of
$294,000. July 29 Purchased 1,800 shares of common stock at
$18per share. (Use cost method.) Aug. 10 Sold the 1,800 treasury shares at
$14per share. Dec. 31 Declared a
$0.30per share cash dividend on the common stock and declared the preferred dividend. Dec. 31 Closed the Income Summary account. There was a
$173,800net income. (a)
