The Following Selected Transactions Took Place During the Current Year

question 87

Essay

The following selected transactions took place during the current year for a company:
Feb 25 Declared a $2.50 per share cash dividend on 20,000 shares of common stock outstanding
Mar. 20 Paid the cash dividends declared on Feb. 25.
Dec 31 Closed the $72,000 credit balance in Income Summary that reflects net income to Retained Earnings.
(a) Prepare the journal entries for these transactions.
(b) If Retained Earnings had a $155,000 credit balance on January 1, calculate its year-end balance as of December 31.

---

Definitions:

Internationalization process

The strategy through which a business expands its operations and presence into international markets.

Operations VP

A high-level executive who oversees the day-to-day operations and ensures they align with organizational goals.

Marketing Director

A professional responsible for overseeing and guiding the marketing strategy of a company or organization.

Cultural Differences

Variations in the beliefs, values, habits, norms, and practices among people from different societies or cultures.