On January 1, 2020, Sunland Corporation had the following
stockholders’ equity accounts.
| Common Stock ($24 par value, 65,000 shares issued and
outstanding) |
|
$1,560,000 |
| Paid-in Capital in Excess of Par—Common Stock |
|
191,000 |
| Retained Earnings |
|
591,000 |
During the year, the following transactions occurred.
| Feb. 1 |
|
Declared a $1 cash dividend per share to stockholders of record
on February 15, payable March 1. |
| Mar. 1 |
|
Paid the dividend declared in February. |
| Apr. 1 |
|
Announced a 2-for-1 stock split. Prior to the split, the market
price per share was $36. |
| July 1 |
|
Declared a 10% stock dividend to stockholders of record on July
15, distributable July 31. On July 1, the market price of the stock
was $14 per share. |
| 31 |
|
Issued the shares for the stock dividend. |
| Dec. 1 |
|
Declared a $0.30 per share dividend to stockholders of record
on December 15, payable January 5, 2021. |
| 31 |
|
Determined that net income for the year was $328,000. |
