Duke Corporation Reports the Following Components of Stockholders' Equity on December

question 130

Multiple Choice

Duke Corporation reports the following components of stockholders' equity on December 31,2010.
$\begin{array}{lr} \text {Common stock- \( \$ 25 \) par value, 100,000 shares authorized, 45,000 shares issued}\\ \text { and outstandino}&\$1,125,000\\ \text { Paid-in capital in excess of par value, common stock } & 60,000 \\ \text { Retained earnings } & 460,000 \\ \text { Total stockholders' equity } & \$ 1,645,000 \\\end{array}$

In year 2011, the following transactions affected its stockholder's' equity accounts.
Jan. 1 Purchased 4,500 shares of its own stock at $\$ 27$ cash per share.
Jan. 5 Directors declared a $\$ 3$ per share cash dividend payable on Feb. 28 to the Feb. 5 stockholders of record.

Feb. 28 Paid the dividend declared on January 5.
Mar. 3 Sold 1,000 shares of treasury stock for $\$ 28$ per share
May 25 Sold 1,000 shares of treasury stock for $\$ 16$ per share
June 15 Directors declared a $\$ 1.50$ per share cash dividend payable on July 15 to the June 30 stockholders of record

July 15 Paid the dividend declared on June 15

What is the amount in the Retained Earnings account immediately after the dividend on July 15?

• A)$264,750
• B)$392,500
• C)$460,000
• D)$338,500
• E)$470,000

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Definitions:

Double Jeopardy

A situation occurring when a person is tried twice for the same criminal offense; prohibited by the Fifth Amendment to the Constitution.

Reasonable Doubt

A standard of proof in criminal cases, requiring jurors to be fully convinced of the defendant's guilt, beyond a level where logical and reasonable doubts about guilt exist.

Immunity

Legal protection or exemption from prosecution or being sued, often granted in specific circumstances or to certain individuals.

Cyber Fraud

Cyber fraud involves deceptive and illegal activities conducted over the internet, including scams, identity theft, and unauthorized financial transactions.