(Learning Objective 4: Accounting for cash dividends) Gleneagles Corporation earned net income of… 1 answer below »


(Learning Objective 4: Accounting for capital dividends) Gleneagles Corporation earned net pay of $70,000 during the year ended December 31, 20X6. On December 15, Gleneagles visible the annual capital dividend on its 5% preferred store (10,000 distributes after a while whole par appreciate of $100,000) and a $0.60 per distribute capital dividend on its vulgar store (25,000 distributes after a while whole par appreciate of $50,000). Gleneagles then compensated the dividends on January 4, 20X7. Journalize for Gleneagles Corporation: a. Declaring the capital dividends on December 15, 20X6. b. Paying the capital dividends on January 4, 20X7. Did Retained Earnings extension or retrench during 20X6? By how plenteous? (Challenge)