What are the dates associated with Molson Coors Brewing Company’s dividend announcement?

On November 12, 2015, Molson Coors Brewing Company (TAP) released a dividend announcement.  An excerpt from that news release is as follows:

DENVER & MONTREAL–(BUSINESS WIRE)–Nov. 12, 2015–Molson Coors Brewing Company (NYSE: TAP) today declared a regular quarterly dividend on its … common shares of US $0.41 per share, payable December 15, 2015, to shareholders of record on November 30, 2015.

Questions

  1. What is the specific date for each of the following events related to this Molson Coors dividend?
    1. Date of declaration
    2. Date of record
    3. Date of payment
  2. On what date does this dividend become an actual liability for Molson Coors?
  3. Assume that there are 1 billion shares authorized, 191 million shares issued, and 185 million shares outstanding on the date of record for this dividend. What is the total dollar amount of this dividend?
  4. How will this dividend impact Molson Coors’ the following components of its balance sheet on the date of declaration?
    1. Assets
    2. Liabilities
    3. Stockholders’ equity
  5. How will this dividend impact Molson Coors’ the following components of its balance sheet on the date of payment?
    1. Assets
    2. Liabilities
    3. Stockholders’ equity

Instructor Resources

These resources are provided to give the instructor flexibility for use of Accounting in the Headlines articles in the classroom. The blog posting itself can be assigned via a link to this site OR by distributing the student handout below. Alternatively, the PowerPoint file below contains a bullet point overview of the article and the discussion questions.

  • Student handout (pdf) (word) (contains entire blog posting + discussion questions)
  • PowerPoint file (brief article overview + discussion questions)

Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 3.0 Unported License.

About Dr. Wendy Tietz, CPA, CMA, CGMA

Dr. Wendy Tietz is a professor of accounting at Kent State University in Kent, Ohio, USA. She is also a textbook author with Pearson Prentice-Hall.

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