Please Provide me with the correct solution. As of June 30th, Hope company has t

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Please Provide me with the correct solution.

As of June 30th, Hope company has the following balances Common Stock (Par Value 50; 50,000 shares issued and outstanding) 2,500,000 Paid in Capital in Excuses of Par - C/S Retained Earnings 600,000 4,200,000 Prepare Journal entries for the following parts A-D: A. Hope company bought 500 shares of treasury shares. B. Hope company resold 500 shares of the treasury shares in #6 for 60 per share. C. Hope Company pays the cash dividend declared of $1 D Hope company issues property dividend that has a book value of 100,000 but has a market value of 125,000

Explanation / Answer

1 Treasury Stock 25000 =500*50 Cash 25000 2 Cash 30000 =500*60 Paid in capital-from treasury stock 5000 Balancing figure Treasury Stock 25000 =500*50 3 At the time of dividend declaration Retained Earning 50000 Dividend Payable 50000 At the time of dividend payment Dividend Payable 50000 Cash 50000 =50000*1 4 At the time of dividend declaration Property 25000 Gain on appreciation of property 25000 Retained Earning 125000 Dividend payable 125000 At the time of dividend payment Dividend Payable 125000 Property 125000

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