Term
How to record the issuance of a bond ( |
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Definition
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Term
What are the key differences are between common stock and preferred stock. |
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Definition
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Term
How to compute a preferred stock dividend
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Definition
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Term
What par value represents and how to account for it (same for stated value); what does it mean for stock to be “no-par”? How does this affect your entries?
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Definition
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Term
| How to issue stock (computation and entry) |
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Definition
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Term
| How to account for lump sum sales methods: (proportional) |
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Definition
How to account for lump sales:
1. Multiply shares x Par Value for both preferred and common stock.
2. Multiply Fair Market Value for both preferred sand common stock and add them together.
3. Divided the total of the FMV shares of common stock and divide them by total of both common and preferred stock together.
4. Multiply the result by the lump sales number
5. Do steps 3 and 4 preferred stock.
6. Add the result of step 4 and 5 to get a number equal to the lump sales number.
7. Debit cash and credit common stock par.
a. Subtract common stock par from the number in step 4.
b. Do the same for preferred stock.
8. Everything should add up to the same number as debit of cash. |
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Term
| How to account for issuance of stock in a non-cash transaction |
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Definition
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Term
| How to account for stock issue costs |
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Definition
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Term
| How to account for treasury stock (purchase and resale; what is APIC-T/S used for after the stock is back on the market?) |
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Definition
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Term
| Key features of preferred stock |
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Definition
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Term
How to account for the following types of dividends (including computations and entries; different techniques, account names, and valuations):
o Cash dividend
o Stock dividend (small vs. large?)
o Property dividend
o Liquidating dividend |
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Definition
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Term
The three key dates associated with dividends and the journal entries required on each
o Date of declaration
o Date of record
o Date of payment
date: |
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Definition
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Term
| How to account for a stock split (computations and entries) |
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Definition
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Term
| Presentation, disclosure and analysis |
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Definition
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Term
| How to account for lump sum sales (2 methods: (incremental) |
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Definition
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