การบัญชีเกี่ยวกับส่วนของผู้เป็นเจ้าของ(Accounting of Owners’ Equity) Chapter 11 2

OWERS’ CHARACTERISTICS กิจการเจ้าของคนเดียว ห้างหุ้นส่วน ห้างหุ้นส่วนสามัญ ห้างหุ้นส่วนจำกัด บริษัทจำกัด บริษัท......จำกัด บริษัท.....มหาชน จำกัด

กิจการเจ้าของคนเดียว บัญชีทุน: บันทึกการลงทุนและถอนทุนของเจ้าของ กิจการ บัญชีเงินถอน: บันทึกการถอนกำไรไปใช้ส่วนตัว

กิจการเจ้าของคนเดียว Date Account Title Debit Credit Jan 1 Cash 100,000 Capital (เจ้าของนำเงินมาลงทุน) Sept 10 Withdraw 5,000 (ถอนเงินสดไปใช้ส่วนตัว) Dec 31 Net Income 25,000 (โฮนกำไรเข้าบัญชีทุน) (ปิดบัญชีเงินถอน)

ห้างหุ้นส่วน บัญชีทุน: บันทึกการลงทุนและถอนทุนของหุ้นส่วน แต่ละคน บัญชีกระแสทุน: บันทึกการแบ่งผลกำไรและการถอน กำไรไปใช้ส่วนตัวเป็นการล่วงหน้า ของหุ้นส่วนแต่ละคน

ห้างหุ้นส่วน เงินสด ทุน - นายประนอม ทุน - นายน้ำพริก Date Account Title Debit Credit Jan 1 เงินสด 100,000 ทุน - นายประนอม 40,000 ทุน - นายน้ำพริก 60,000 (หุ้นส่วนนำเงินสดลงทุนในห้าง) Jun 12 กระแสทุน - นายประนอม 2,000 กระแสทุน - นายน้ำพริก 3,000 5,000 (ถอนกำไรไปใช้ล่วงหน้า) กำไรขาดทุน 20,000 8,000 12,000 (บันทึกการแบ่งผลกำไร)

CORPORATE CHARACTERISTICS Separate legal existence Advantages Limited liability Transferable ownership Ability to acquire capital Continuous life Management vs. ownership Disadvantages Government regulation Double taxation Corporations may be publicly or privately owned

OWNERSHIP RIGHTS OF STOCKHOLDERS

STOCK ISSUE CONSIDERATIONS Authorized Shares indicated by charter. Issued Shares sold to investors directly or indirectly. Market Set by interaction between buyers and sellers. Par Assigned value/stated value/legal capital No par No assigned value

ISSUING PAR VALUE COMMON STOCK FOR CASH If the issue price = par value, proceeds are credited to common stock. Assume Hyrdo-Slide Inc., issues 1,000 shares of $1 par value common stock at par: Date Account Debit Credit 1/1/xx Cash 1,000 Common Stock 1,000 (record issuance at par)

ISSUING PAR VALUE COMMON STOCK FOR CASH If the issue price < > par value, proceeds are split between common stock and paid-in capital in excess of par value Assume Hyrdo-Slide Inc., issues 1,000 shares of $1 par value common stock at $5 per share: Date Account Debit Credit 1/1/xx Cash 5,000 Common Stock 1,000 Paid-in capital in excess of par value 4,000 (record issuance in excess of par)

STOCKHOLDERS’ EQUITY SECTION The total paid-in-capital from these transactions is $6,000, and the legal capital is $2,000. If Hydro-Slide, Inc. has retained earnings of $27,000, the stockholders’ equity section is as follows: Hydro-Slide, Inc. Balance Sheet (partial) Stockholders’ equity Paid-in-capital Common Stock $2,000 Paid-in-capital in excess of par value 4,000 Total paid-in-capital 6,000 Retained earnings 27,000 Total stockholders’ equity $33,000

STOCKHOLDERS EQUITY SECTION WITH NO TREASURY STOCK Before the purchase of the treasury stock, the stockholders’ equity is as follows: Mead, Inc. Balance Sheet (partial) Stockholders’ equity Paid - in capital Common stock, $5 par, 100,000 shares $ 500,000 200,000 $ 700,000 Issued and outstanding Retained earnings Total stockholders’ equity

PURCHASE OF TREASURY STOCK If Mead, Inc. has 100,000 shares of $5 par value common stock outstanding (all issued at par value) and it decides to acquire 4,000 shares of its stock at $8 per share, the entry is: Date Account Debit Credit Feb 1 Treasury stock 32,000 Cash 32,000 (record purchase of treasury stock) Cost method

STOCKHOLDERS EQUITY SECTION WITH TREASURY STOCK The acquisition of treasury stock REDUCES stockholders’ equity The stockholders’ equity section of Mead, Inc. after purchase of treasury stock is as follows: Mead, Inc. Balance Sheet (partial) Stockholders’ equity Paid-in capital Common stock, $5 par, 100,000 shares issued and 96,000 shares outstanding $500,000 200,000 700,000 32,000 $668,000 Retained earnings Total paid-in capital and retained earnings Less: Treasury stock (4,000 shares) Total stockholders’ equity

STOCK SPLITS A multiple of existing shares issued to existing stockholders. Total number of shares increases, par value decreases. No effect on total stockholders’ equity. No journal entry required.

STOCK SPLIT EFFECTS 2 for 1 stock split. Before Split After Split Stockholders’ equity Paid-in capital Common stock, $10 par $500,000 $500,000 Paid-in capital in excess of par value Total paid-in capital 500,000 500,000 Retained earnings 300,000 300,000 Total stockholders’ equity $800,000 $800,000 Outstanding shares 50,000 100,000 2 for 1 stock split.

PREFERRED STOCK Distribution of earnings Assets in liquidation Preferred stock has priority over common stock in terms of No voting rights. Identified separately from other stock and paid in capitals. Distribution of earnings Assets in liquidation

DIVIDEND PRFERENCES CUMULATIVE DIVIDEND DIVIDENDS IN ARREARS Preferred stockholders must be paid both current and prior year dividends before common stockholders receive any dividends. DIVIDENDS IN ARREARS Preferred dividends not declared in a given period. Not considered a liability, but disclosed in the notes to the financial statements.

CUMULATIVE DIVIDEND If Scientific-Leasing has 5,000 shares of 7%, $100 par value cumulative preferred stock outstanding. The annual dividend Is $35,000 (5,000 shares x $7 per share). If dividends are two years in arrears, preferred stockholders should receive the following before any dividends are paid to common stockholders. Dividends in arrears ($35,000 x 2) $ 70,000 Current - year dividends 35,000 Total preferred dividends $105,000

RETAINED EARNINGS Net income that is retained in the business. Net losses reduce retained Earnings. Net losses are not debited to paid-in capital accounts. RETAINED EARNINGS Net loss Prior period adjustments (o) Dividends Some treasury stock disposals Net income Prior period adjustments (u)

RETAINED EARNINGS กำไรสะสม จัดสรรเป็นสำรองตามกฎหมาย ยังไม่จัดสรร

Declaration Date CASH AND STOCK DIVIDENDS On December 1, 2006, Media General declares a 50 cents per share dividend on 100,000 shares of $10 par value stock: Date Account Debit Credit Dec 1 Retained earnings 50,000 Dividends payable 50,000 (declaration of a cash dividend)

CASH AND STOCK DIVIDENDS RECORD DATE No entry required. Date Account Debit Credit Dec 30

PAYMENT DATE CASH AND STOCK DIVIDENDS On January 23, 2007, Media General pays the previously declared dividend. Date Account Debit Credit Jan 23 Dividends payable 50,000 Cash 50,000 (payment of cash dividend)

ENTRIES FOR STOCK DIVIDENDS Medland Corporation has a balance of $300,000 in retained earnings and declares a 10% stock dividend on its 50,000 shares of $10 par value common stock. The FMV of its stock is $15 per share and the 5000 shares are issued. The following entries would be made at the date of declaration: Date Account Debit Credit Declaration Retained earnings 75,000 Common stock dividends distributable 50,000 Paid-in capital in excess of par 25,000 (declaration of 10% stock dividend )

STOCK DIVIDEND EFFECTS Before Dividend After Dividend Stockholders’ equity Paid-in capital Common stock, $10 par $500,000 $550,000 Paid-in capital in excess of par value 25,000 Total paid-in capital 500,000 575,000 Retained earnings 300,000 225,000 Total stockholders’ equity $800,000 $800,000 Outstanding shares 50,000 55,000 Stock dividends change the composition of stockholders’ equity because a portion of retained earnings is transferred to paid-in capital.

STOCKHOLDERS’ EQUITY WITH DEFICIT Balance Sheet (partial) Paid-in capital Common stock $800,000 Retained earnings (deficit) (50,000) Total stockholders’ equity $750,000 A debit balance in retained earnings is a DEFICIT.

PRESENTATION & ANALYSIS

งบแสดงการเปลี่ยนแปลงในส่วนของผู้ถือหุ้น เป็นงบการเงินที่แสดงการเพิ่มขึ้นหรือลดลงในระหว่างงวดของ หุ้นสามัญ ส่วนเกินมูลค่าหุ้นสามัญ กำไรสะสม

End of Chapter 11 4