CapitalStock,DividendsBusiness(公司金融会计).ppt

,LearningObjectives,PowerNotes,1.NatureofaCorporation2.StockholdersEquity3.SourcesofPaid-inCapital4.IssuingStock5.TreasuryStockTransactions6.StockSplits7.AccountingforDividends8.FinancialAnalysisandInterpretation,ChapterF11,C11,Corporations:Organization,CapitalStock,Dividends,CharacteristicsofCorporationsStockholdersEquityIssuingStockTreasuryStockTransactionsStockSplitsandDividendsDividendYieldonCommonStock,Slide#PowerNoteTopics,31019222835,Note:Toselectatopic,typetheslide#andpressEnter.,PowerNotes,ChapterF11,Corporations:Organization,CapitalStock,Dividends,CharacteristicsofCorporations,Asaseparatelegalentity,acorporationmayownanddisposeofpropertyinitsownname.Thecorporationownershipisdividedintounitscalledsharesofstock.Theownersofthesharesarecalledshareholdersorstockholders.Stockholdersofacorporationhavealimitedliability.,CharacteristicsofCorporations,Stockholders(ownersofcorporationstock),CommonStockthebasicownershipofstockwithrightstovoteinelectionofdirectors,shareindistributionofearnings,andpurchaseadditionalshares.PreferredStockAclassofstockwithpreferentialrightsovercommonstockinpaymentofdividendsandcompanyliquidation.,ClassesofStock,CharacteristicsofCorporations,BoardofDirectors(electedbystockholders),Stockholders(ownersofcorporationstock),CharacteristicsofCorporations,Officers(selectedbyboardofdirectors),BoardofDirectors(electedbystockholders),Stockholders(ownersofcorporationstock),CharacteristicsofCorporations,Employees(hiredbyofficers),Officers(selectedbyboardofdirectors),BoardofDirectors(electedbystockholders),Stockholders(ownersofcorporationstock),FormingaCorporation,Firststepistofileanapplicationofincorporationwiththestate.Becausestatelawsdiffer,corporationsoftenorganizeinstateswithmorefavorablelaws.MorethanhalfofthelargestcompaniesareincorporatedinDelaware.Stategrantsacharterorarticlesofincorporationwhichformallycreatethecorporation.Managementandboardofdirectorspreparebylawswhichareoperationrulesandprocedures.,DateDescriptionDebitCredit,FormingaCorporation,OrganizationCosts8,500Cash8,500AmortizationExpense1,700OrganizationCosts1,700$8,500costs/5years=$1,700,Jan.5,Paidorganizationcostsof$8,500.,Amortizationoforganizationcostsover5years.,Dec.31,Costoforganizingincludeslegalfees,taxesandlicenses,promotioncosts,etc.Thesecostsarerecordedasanintangibleasset.,StockholdersEquity,Assets,Liabilities,StockholdersEquity,StockholdersEquity=AssetsLiabilitiesRepresentsthestockholdersshareofthetotalassets.,StockholdersEquity,Assets,Liabilities,StockholdersEquity,StockholdersEquity:Paid-incapital:Commonstock$330,000Retainedearnings80,000Total$410,000,StockholdersEquity,Assets,Liabilities,StockholdersEquity,Therearetwosourcesofstockholdersequity,StockholdersEquity:Paid-incapital:Commonstock$330,000Retainedearnings80,000Total$410,000,StockholdersEquity,Assets,Liabilities,StockholdersEquity,fromstockholders,StockholdersEquity:Paid-incapital:Commonstock$330,000Retainedearnings80,000Total$410,000,Therearetwosourcesofstockholdersequity,1,StockholdersEquity,Assets,Liabilities,StockholdersEquity,StockholdersEquity:Paid-incapital:Commonstock$330,000Retainedearnings80,000Total$410,000,fromearnings,Therearetwosourcesofstockholdersequity,2,StockholdersEquity,Assets,Liabilities,StockholdersEquity,Therearetwosourcesofstockholdersequity,fromstockholders,StockholdersEquity:Paid-incapital:Commonstock$330,000Retainedearnings80,000Total$410,000,fromearnings,1,2,TwoClassesofStockholders,CommonStockThebasicownershipofstockincludes:1.Righttovoteinelectionofdirectorsandotherimportantmatters.2.Righttoshareindistributionofearnings.3.Preemptiverighttopurchasesufficientsharesofnewcommonstockofferingstomaintainanexistingownershippercentage.PreferredStockAclassofstockwithpreferentialrightsovercommonstockwithrespecttopaymentofdividendsandassetsofthecorporationinliquidation.,NonparticipatingPreferredStock,Preferreddividend4,0004,0004,000Commondividend$6,000$31,000$18,000Dividendspershare:Preferred$4.00$4.00$4.00Common$1.50$7.75$4.50,Anonparticipatingpreferredstockislimitedtoacertainamount.Assume1,000sharesof$4nonparticipatingpreferredstockand4,000sharesofcommonstockandthefollowing:200220032004Netincome$20,000$55,000$62,000Amountretained10,00020,00040,000Amountdistributed$10,000$35,000$22,000,CumulativePreferredStock,PreferredDividend:Firstyearinarrears$4,000Secondyearinarrears4,000Thirdyearcurrent4,00012,000Commondividend$10,000Dividendspershare:Preferred$12.00Common$2.50,Assume1,000sharesof$4cumulativepreferredstockand4,000sharesofcommonstock.Nodividendshavebeenpaidintheprecedingtwoyears.Amountdistributedin3rdyear$22,000,DateDescriptionDebitCredit,IssuingStock,Cash1,500,000PreferredStock500,000CommonStock1,000,000Thestockaccountsarecontrollingaccounts.Arecordofeachstockholdersname,address,andnumberofsharesiskeptinastockholderssubsidiaryledger.,Jan.5,One-halfofeachclassisissuedatparforcash.,Acorporationisauthorizedtoissue10,000sharesofpreferredstock,$100par,and100,000sharesofcommonstock,$20par.,DateDescriptionDebitCredit,PremiumonIssuingStock,Cash110,000PreferredStock100,000Paid-InCapitalinExcess10,000The$10,000excessisrecordedinaseparateaccountbecausesomestatesdonotconsiderthistobepartoflegalcapitalandmaybeusedfordividends.Manystatesdonotpermitissuanceatadiscount.,Jan.5,Issued2,000sharesof$50parpreferredstockfor$55.,Whenstockisissuedformorethanitspar,thestockhassoldatapremium.Ithassoldatadiscountifissuedforlessthanitspar.,DateDescriptionDebitCredit,IssuingStockforNon-CashAssets,Land120,000CommonStock100,000Paid-InCapitalinExcess20,000,Jan.5,Acquiredland(fairmarketvaluecannotbedetermined)for10,000sharesof$10parcommon.Thecurrentmarketpriceofthestockis$12pershare.,Stockissuedforassetsotherthancashshouldberecordedatthefairmarketvalueoftheassetorfairmarketvalueofthestock,whichevercanbemoreclearlydetermined.,DateDescriptionDebitCredit,IssuingNo-ParStock,Cash400,000CommonStock400,000Cash36,000CommonStock36,000,Jan.5,Issuanceof10,000sharesofno-parcommonat$40.,Inmoststates,bothpreferredandcommonstockmaybeissuedwithoutaparvalue.Preferredstock,however,isnormallyassignedaparvalue.,Jun.15,Issuanceof1,000sharesofno-parcommonat$36.,TreasuryStockTransactions,Arecentsurveyindicatedthatover64%ofcompaniesreportedtreasurystock.Treasurystockisstockthat:1.Hasbeenissuedasfullypaid.2.Hasbeenreacquiredbythecorporation.3.Hasnotbeencanceledorreissued.Acommonlyusedmethodofaccountingfortreasurystockisthecostmethod.TheaccountTreasuryStockisdebitedforapurchase.Whensold,TreasuryStockiscreditedandanydifferenceisdebitedorcreditedtoanaccounttitledPaid-InCapitalfromSaleofTreasuryStock.,DateDescriptionDebitCredit,TreasuryStockTransactions,TreasuryStock45,000Cash45,000Cash12,000TreasuryStock9,000Paid-InCapitalTreasuryStock3,000Cash8,000Paid-InCapitalTreasuryStock1,000TreasuryStock9,000,Jan.5,Purchased1,000sharesoftreasurystockat$45.,Jun.2,Sold200sharesoftreasurystockat$60.,Sold200sharesoftreasurystockat$40.,Sep.3,GeneralLedger,TreasuryStockTransactionsGeneralLedger,Treasurystockisbookedatcostuponacquisitionandsale.,BalanceDateItemDebitCreditDebitCredit,Account:Paid-InCapitalTreasuryStockAccountNo.395,6/2200shs.$603,0003,0009/3200shs.$401,0002,000,GeneralLedger,BalanceDateItemDebitCreditDebitCredit,Account:TreasuryStockAccountNo.380,1/51,000shs.$4545,00045,0006/2200shs.$609,00036,0009/3200shs.$409,00027,000,TreasuryStockTransactionsGeneralLedger,Iftreasurystockissoldformorethanitscost,thedifferenceiscreditedtoPaid-InCapitalTreasuryStock.,Paid-incapital:Commonstock,$25par(20,000sharesauthorizedandissued)$500,000Excessofissuepriceoverpar150,000Fromsaleoftreasurystock2,000Totalpaid-incapital$652,000Retainedearnings130,000Total$782,000Deducttreasurystock(600sharesatcost)27,000Totalstockholdersequity$755,000,StockholdersEquity,DebitbalanceofTreasuryStockaccount.,Corporationssometimesreducetheparorstatedvalueoftheircommonstockbyissuingaproportionatenumberofadditionalshares.Thisiscalledastocksplit.Anexample:Acorporationhas10,000sharesof$100parcommonstockoutstandingwhena5-for-1stocksplitisdeclared.Before:100,000shares$100par=$10,000,000After:500,000shares$20par=$10,000,000Thetotallegalcapitalisthesame.Onlythenumberofsharesandtheparpersharearechanged.Nojournalentryisrequired.,AccountingforStockSplits,Dividends,Dividendsaredistributionsofretainedearningstostockholders.Dividendsmaybepaidincash,stock,orproperty.Dividends,evenoncumulativepreferredstock,areneverrequired,butoncedeclaredbecomealegalliabilityofthecorporation.Cashdividendsaredeclaredandpaidonsharesoutstandingwiththreeconditions:1.Sufficientretainedearnings2.Sufficientcash3.Formalactionbytheboardofdirectors,DateDescriptionDebitCredit,AccountingforCashDividends,CashDividends42,500CashDividendsPayable42,500CashDividendsPayable42,500Cash42,500,Dec.1,Declaredcashdividendsonpreferredandcommon.Preferred:$2.50 x5,000shares=$12,500Common:$0.30 x100,000shares=$30,000,Aquarterlycashdividendisdeclaredon5,000sharesof$100par10%preferredstockand$0.30onthe100,000sharesof$10parcommonstock.,Jan.2,PaidcashdividenddeclaredonDecember1.,DateDescriptionDebitCredit,AccountingforStockDividends,StockDividends3,100,000StockDividendsDistributable2,000,000Paid-InCapitalinExcessofPar1,100,000StockDividendsDistributable2,000,000CommonStock2,000,000,Dec.15,Declareda100,000(5%)stockdividendoncommon.Marketpriceis$31ashareatdeclarationdate.,Stockdividendstransferproratasharesofstocktostockholders.Assumea5%stockdividendoncommonstock,$20par,2,000,000sharesissued.,Jan.10,IssuedthestockdividenddeclaredonDecember15.,StockDividendsandStockholdersEquity,Equitypershare$37.80$36.00AStockholder:Sharesowned1,0001,050Totalequity$37,800$37,800Portionofcorporationowned.05%.05%,BeforeAfterCommonstock$40,000,000$42,000,000Excessofissuepriceoverpar9,000,00010,100,000Retainedearnings26,600,00023,500,000Totalstockholdersequity$75,600,000$75,600,000Numberofsharesoutstanding2,000,0002,100,000,StockDividendsandStockholdersEquity,Equitypershare$37.80$36.00AStockholder:Sharesowned1,0001,050Totalequity$37,800$37,800Portionofcorporationowned.05%.05%,Note:Thetotalstockholdersequityisexactlythesamebeforeandafterthestockdividend.,BeforeAfterCommonstock$40,000,000$42,000,000Excessofissueprice