Acc557 Financial Accounting: E11-13 On January 1, Guillen Corporation had 95,000 shares
Acc557 Financial Accounting
E11-13. On January 1, Guillen Corporation had 95,000 shares of no-par common stock issued and outstanding. The stock has a stated value of $5 per share. During the year, the following occurred. Apr. 1 Issued 25,000 additional shares of common stock for $17 per share. Jun 15 Declared a cash dividend of $1 per share to stockholders of record on June 30. July 10 Paid the $1 cash dividend. Dec 1. Issued 2,000 additional shares of common stock for $19 per share. Dec 15. Declared a cash dividend on outstanding shares of $1.20 per share to stockholders of record on December 31.
Instruction: a) Prepare the entries, if any, on each of the three dividend dates. b) How are dividends and dividends payable reported in the ﬁnancial statements prepared at December 31?