Knapp Industries Began Business on January 1,2018 by Issuing All

question 199

Essay

Knapp Industries began business on January 1,2018 by issuing all of its 1,000,000 authorized shares of its $1 par value common stock for $40 per share.On June 30,Knapp declared a cash dividend of $2 per share to stockholders of record on July 31.Knapp paid the cash dividend on August 30.On November 1,Knapp reacquired 200,000 of its own shares of stock for $50 per share.On December 22,Knapp resold 100,000 of these shares for $60 per share.
Required:
Part a.Prepare all of the necessary journal entries to record the events described above.
Part b.Prepare the stockholders' equity section of the balance sheet as of December 31,2018 assuming that the net income for the year was $6,000,000.

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Definitions:

MAC Filtering

A security technique that blocks or allows access to a network based on the physical hardware addresses (MAC addresses) of devices.

SSID Broadcasting

Used with wireless network access points to periodically send out a beacon frame that includes the SSID. Wireless devices can automatically detect the SSID from this beacon.

Reconnect at Logon

A setting in operating systems that automatically reconnects mapped network drives upon the user's login, ensuring persistent access to network resources.

Sleep Power

A low power mode for electronic devices where the device appears off but can quickly resume full power operation.