Delilah Corporation Reports the Following Transactions for 2013:
Jan $\$ 3.50$

question 58

Essay

Delilah Corporation reports the following transactions for 2013:
Jan. 11 Sold 6,000 shares of $\$ 3.50$ , noncumtuative, preferred shares for $\$ 75$ per share
Feb. 20 Sold 30,000 common shares for $\$ 11$ per share,
Oct. 13 Declared a $10 \%$ stock dividend on the common shares. The cumrent market price of the common shares is $\$ 14$ per share. Sampson Corporation has 100,000 common shares outstanding on October 13.

Nov. 16 Distributed the stock dividend declared on October 13.
Dec. 16 Declared the annual dividend required on the preferred shares and a $\$ 0.50$ per share dividend on the common shares. Sampson Corporation currently has 20,000 preferred shares outstanding.
Prepare journal entries for the above transactions.

---

Definitions:

CCA Class

Refers to categories in the Capital Cost Allowance system where assets are grouped according to their nature and function for tax depreciation purposes in Canada.

Annual Depreciation Tax Shield

This represents the tax savings a company achieves due to depreciation expense, calculated as the depreciation times the tax rate.

Tax Rate

The percentage at which an individual or corporation is taxed, which can vary based on income level, jurisdiction, and type of tax.

Straight-Line Depreciation

A method for portioning out the cost of a hard asset over its service life in consistent yearly values.