On October 1, 2019, XBC Declared a Dividend to Its

question 159

Essay

On October 1, 2019, XBC declared a dividend to its common shareholders by issuing one share of YTC, preferred share, $.60 no-par (held as a long-term investment)for each of the 15,000 common shares of XBC.On the declaration date, the YTC shares were selling at $7 per share.The YTC shares originally were purchased by XBC at $9 per share; they were transferred to the XBC shareholders on January 30, 2000, when their quoted market price was $7.50 per share.Give the following entries for XBC:
(a)At date of declaration:
(b)At date of payment:

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Definitions:

Stigma By Association

Rejection of those who associate with stigmatized others.

Prejudiced

Holding preconceived opinions or judgments about someone based on group characteristics, without knowledge or fairness.

Obese People

Individuals who have a body mass index (BMI) that is significantly higher than the recommended range, often leading to health concerns.

Stigmas

Characteristics of individuals that are considered socially unacceptable (e.g., being overweight, mentally ill, sick, poor, or physically scarred).