90.2K

Verified Solution

Link Copied!

AIM Inc. showed the following equity account balances on the December 31, 2019, balance sheet: Common shares, unlimited authorized shares, 890,000 shares issued and outstanding Retained earnings $ 7,209,000 2,190, 200 During 2020, the following selected transactions occurred: Feb. 10 Repurchased and retired 156,200 common shares at $10.00 per share; this is the first retirement recorded by AIM. May 15 Declared a 2:1 share split to shareholders of record on June 1, distributable June 15. Dec. 1 Declared a 10% share dividend to shareholders of record on December 10, distributable December 20. The market prices of the shares on December 1, December 10, and December 20 were $6.00 $6.70, and $5.00, respectively. 20 Distributed the share dividend declared December 1. 31 closed the credit balance of $1,027,010 in the Income Summary account. Required: a. Journalize the transactions above (assuming the retirements were the first ever recorded by AIM Inc.). The company does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the retirement of shares. AIM Inc. showed the following equity account balances on the December 31, 2019, balance sheet: Common shares, unlimited authorized shares, 890,000 shares issued and outstanding Retained earnings $ 7,209,000 2,190,200 During 2020, the following selected transactions occurred: Feb. 10 Repurchased and retired 156,200 common shares at $10.00 per share; this is the first retirement recorded by AIM. May 15 Declared a 2:1 share split to shareholders of record on June 1, distributable June 15. Dec. 1 Declared a 10% share dividend to shareholders of record on December 10, distributable December 20. The market prices of the shares on December 1, December 10, and December 20 were $6.00 $6.70, and $5.00, respectively. 20 Distributed the share dividend declared December 1. 31 Closed the credit balance of $1,027,010 in the Income Summary account. Required: a. Journalize the transactions above (assuming the retirements were the first ever recorded by AIM Inc.). The company does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the declaration by the directors of a 2:1 share split effective on this date. AIM Inc. showed the following equity account balances on the December 31, 2019, balance sheet: Common shares, unlimited authorized shares, 890,000 shares issued and outstanding Retained earnings $7,209,000 2,190,200 During 2020, the following selected transactions occurred: Feb.10 Repurchased and retired 156,200 common shares at $10.00 per share; this is the first retirement recorded by AIM. May 15 Declared a 2:1 share split to shareholders of record on June 1, distributable June 15. Dec. 1 Declared a 10% share dividend to shareholders of record on December 10, distributable December 20. The market prices of the shares on December 1, December 10, and December 20 were $6.00 $6.70, and $5.00, respectively. 20 Distributed the share dividend declared December 1. 31 Closed the credit balance of $1,027,010 in the Income Summary account. Required: a. Journalize the transactions above (assuming the retirements were the first ever recorded by AIM Inc.). The company does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the declaration of 10% share dividend. AIM Inc. showed the following equity account balances on the December 31, 2019, balance sheet: Common shares, unlimited authorized shares, 890,000 shares issued and outstanding Retained earnings $ 7,209,000 2,190,200 During 2020, the following selected transactions occurred: Feb. 10 Repurchased and retired 156,200 common shares at $10.00 per share; this is the first retirement recorded by AIM. May 15 Declared a 2:1 share split to shareholders of record on June 1, distributable June 15. Dec. 1 Declared a 10% share dividend to shareholders of record on December 10, distributable December 20. The market prices of the shares on December 1, December 10, and December 20 were $6.00 $6.70, and $5.00, respectively. 20 Distributed the share dividend declared December 1. 31 closed the credit balance of $1,027,010 in the Income Summary account. Required: a. Journalize the transactions above (assuming the retirements were the first ever recorded by AIM Inc.). The company does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record to distribute share dividend declared December 1. AIM Inc. showed the following equity account balances on the December 31, 2019, balance sheet: Common shares, unlimited authorized shares, 890,000 shares issued and outstanding Retained earnings $ 7,209,000 2,190, 200 During 2020, the following selected transactions occurred: Feb. 10 Repurchased and retired 156,200 common shares at $10.00 per share; this is the first retirement recorded by AIM. May 15 Declared a 2:1 share split to shareholders of record on June 1, distributable June 15. Dec. 1 Declared a 10% share dividend to shareholders of record on December 10, distributable December 20. The market prices of the shares on December 1, December 10, and December 20 were $6.00 $6.70, and $5.00, respectively. 20 Distributed the share dividend declared December 1. 31 closed the credit balance of $1,027,010 in the Income Summary account. Required: a. Journalize the transactions above (assuming the retirements were the first ever recorded by AIM Inc.). The company does not use a share dividends account. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the closure of the Income Summary account. Date Note Disclosure Amount February 10, 2020 May 15, 2020 December 01, 2020 December 20, 2020 December 31, 2020

Answer & Explanation Solved by verified expert

See Answer