Ch. 11: Stock Issuance Transactions
Common Stock Preferred Stock Treasury Stock
Issue Stock:
@ Par
Issue stock
above Par
Issue stock
below Par
Property/Equip. Treasury Stock
at Par BUYING IT BACK:
Property/Equip.
above Par
Ch. 11: Dividend Comparisons
Cash Dividends Stock Dividends Stock Splits
Date of
Declaration
Date of
Record
Payment
Date
Note: There is no income or expense NOR profit or loss, because we are not selling products or assets. These transactions have to do with the capitalization of
the business and all the change in values are directly recorded in these equity accounts.
Ch. 11: Stock Issuance Transactions
Common Stock Preferred Stock
Issue Stock: Cash Cash
@ Par Common Stock (par value) Preferred Stock (par value)
Issue stock Cash Cash
above Par Common Stock (par value) Preferred Stock (par value)
Paid-in Capital, In Excess of Par, CS Paid-in Capital, In Excess of Par, PS
Issue stock
below Par Doesn't happen Doesn't happen
Property/Equip. Land Land
at Par Common Stock (par value) Preferred Stock (par value)
Property/Equip. Land Land
above Par Common Stock (par value) Preferred Stock (par value)
Paid-in Capital, In Excess of Par, CS Paid-in Capital, In Excess of Par, PS
Ch. 11: Dividend Comparisons
Cash Dividends Stock Dividends
Date of Retained Earnings Stock Dividends (FMV of Stock)
Declaration Common Dividends Payable Stock Dividends Distributable (Par)
Paid-in Capital in Excess of Par
Date of No Entry No Entry
Record
Payment Common Dividends Payable Stock Dividends Distributable
Date Cash Common Stock
Note: There is no income or expense NOR profit or loss, because we are not selling products or assets. These transactions have to do with the capitalization of
the business and all the change in values are directly recorded in these equity accounts.
Treasury Stock
Cash
Treasury Stock (at Cost)
Cash
Treasury Stock (at Cost)
Paid-in Capital from Sale of TS
Cash
Paid-in Capital, Treasury Stock
Retained Earnings (only when PIC TS is zero
Treasury Stock (at Cost)
Treasury Stock
BUYING IT BACK:
Treasury Stock (at Cost)
Cash
Stock Splits
No Entry
No Entry
No Entry
transactions have to do with the capitalization of