Candy Corporation had pretax profits of $1.2 million, an average tax rate of 34 percent, and it paid preferred stock dividends of $50,000. There were 100,000 shares outstanding and no interest expense. What was Candy Corporation's earnings per share?

Q: Reliable Auto Parts has 5,000 shares of common stock outstanding. The company also has the following…

A: The profit generated by a corporation after subtracting all costs connected with generating and…

Q: Calculate Paulson's WACC using market-value weights. Do not round intermediate calculations. Round…

A: WACC: It is the company's average cost of capital and is calculated by the total of all individual…

Q: Novak Corporation earned $371,000 during a period when it had an average of 100,000 shares of common…

A: Formula: Earnings per share = ( Net income - Total preferred dividends ) / Total outstanding shares

Q: Mayo plc is financed by 31 million shares of equity with a market capitalisation of £74.4 million,…

A: a. The Earnings Per Share, Current Share Price, and the Cost of Equity: A company's earnings per…

Q: Amanda Company has 40,000 shares of common stock outstanding. The book value per share of this stock…

A: The P/E ratio is the market price divided by the Earnings per Share (EPS).

Q: Sales for J. P. Hulett Inc. during the past year amounted to $4.3 million. Gross profits totaled…

A: Calculation of Taxable Income Particulars $ Gross Profit 1060000 Less :   Operating Expenses…

Q: Edna Recording​ Studios, Inc., reported earnings available to common stock of ​$4,000,000 last year.…

A: a) Price of common stock (P0) = $39 Last dividend paid (D0) = $1.17 Growth rate (g) = 6%…

Q: Vickrey Technology has had net income of $1,500,000 in the current fiscal year. There are 1,000,000…

A: Net income= $1,500,000 Common stock outstanding= 1,000,000 shares Total face value= $8 million…

Q: The Paulson Company's year-end balance sheet is shown below. Its cost of common equity is 15%, its…

A: The Weighted Average Cost of Capital(WACC) refers to the financial ratio that calculates the overall…

Q: MJ INC. paid out $44.8 million in total common dividend and reported $289.4 million of retained…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: S Corporation is planning to issue 10,000 shares of 10%, P100 par value preferred stocks for P160…

A: Par Value = 100 Value = 160 Dividend = Dividend Rate * Par Value = 10%*100 = 10

Q: Sales for J. P. Hulett Inc. during the past year amounted to $4.0 million. Gross profits totaled…

A: Taxes on income: All corporations are required to pay taxes on their income.  The IRA has an…

Q: Houghton Company has the following items: common stock, $900,000; treasury stock, $105,000; deferred…

A: Definition:   Balance sheet: This financial statement reports a company’s resources (assets) and…

Q: Zeff Corporation has 2,000 shares outstanding of cumulative preferred stock and 6,000 shares of…

A: Cumulative preferred stock is a stock whose dividend keeps on cumulating if not received in any…

Q: The Paulson Company's year-end balance sheet is shown below. Its cost of common equity is 18%, its…

A: To Find: WACC

Q: At the beginning of the current year, Wilson Corporation had 200,000 shares of 1$ par common stock…

A: Retained earnings: These are the residual earnings with the company that are used either for…

Q: Bonita Corporation earned $405,000 during a period when it had an average of 100,000 shares of…

A: Basic Earnings Per Share = Net Earnings / Average Number of Shares Diluted EPS = Net Earnings /…

Q: Karbala pic, which is unquoted, earns profit before tax of $80 million. It has issued 100 million…

A: Earnings per share(EPS) is an indicator or a financial ratio that shows how much profit a company is…

Q: The capital of a company is made up of $40,000 ordinary shares, $45,000 preference shares, $35,000…

A: Return on Capital Employed  The ratio of a company's operational earnings to the capital employed to…

Q: Blossom Corporation earned $352,000 during a period when it had an average of 100,000 shares of…

A: Incremental shares = [(Market price - option price)/market price] x no. of warrant = [(15-10)/15] x…

Q: ny has a financial break-even point at P163,500. How much is the total preferred dividends to be…

A: Financial break even point is a point where earning per share of the entity is equal to zero.

Q: Griffins Goat Farm, Ic., has sales of $681,000, costs of $343,000, depreciation expense of $87,000,…

A: The income that a common shareholder earns on the shares which are under the possession of the…

Q: Smith Corporation had 30,000 shares of common stock outstanding during the year. In addition, there…

A: Diluted earnings per share:   It refers to the amount of earnings that is available for each share…

Q: Diamond Corp. earned net income of $550,000 in 2021 and had 120,000 shares of common stock…

A: Diluted earnings per share = (Net income + interest expense net of tax) / (No. of shares of common…

Q: The Paulson Company's year-end balance sheet is shown below. Its cost of common equity is 14%, its…

A: WACC is the weighted average cost of procuring funds from various sources such as equity, debt, etc.…

Q: What are the dividends per share for preferred and common, respectively?

A: Dividend refers to that portion of the net income of the company which the company paid to its…

Q: Alpha Metals Product has 300,000 common shares outstanding, which were sold for an average price of…

A: After stock split number of shares increase but value remained same only there is increase in…

Q: The Paulson Company's year-end balance sheet is shown below. Its cost of common equity is 16%, its…

A: WACC: WACC stands for weighted average cost of capital. Formula: WACC = ( weightage of debt x after…

Q: lue Co. has the following information with regards to the financial break-even point: ·      Annual…

A: Financial breakeven is that there is just interest and preferred dividend is paid.

Q: Simmons Mineral Operations, Inc., (SMO) currently has 490,000 shares of stock outstanding that sell…

A: A stock split is a strategy in which the stocks are split in various forms in order to change the…

Q: Colliers, Inc., has 100,000 shares of cumulative preferred stock outstanding. The preferred…

A: Annual dividend entitlement of preferred shareholders = Cumulative preferred shares outstanding *…

Q: Goliath Corp. just paid an annual dividend of $5.40 per share. The dividend growth rate is 5.5…

A: Annual dividend (D0) = $5.40 Growth rate (g) = 5.5% Tax rate = 21% Stock price (P0) = $58.50

Q: If the Marifield Steel Fabrication Company earned $539,000 in net income and paid a cash dividend…

A: earning per share formula: earning per share=net income-dividendnumber of shares outstanding

Q: Edinburgh Plc has a profit after taxation and after preference dividends of £570,000. Share capital…

A: Solution: Earnings per Share = profit after taxation and after preference dividends / ordinary…

Q: Dodd Corporation is a private company that earned $4.00 per sharefor the most recent year. If the…

A: Computation:

Q: LILSO’s group's published annual report showed the following: -Operating profit for the year was EGP…

A: Operating profit means the surplus of revenue over all the operating expenses, before deduction of…

Q: Rudyard Corporation had 250,000 shares of common stock and 25,000 shares of 8%, $100 par convertible…

A: Earnings per share is the return that the company provides to its shareholders in return for capital…

Q: Moncton Meats is a corporation that earned $3 per share before it paid any taxes. The firm retained…

A: Amount of earnings distributed per share = (Earnings per share - Earnings per share x corporate tax…

Q: n 20X2, the corporate tax rate is 20% and a firm has net income of $1,200. Its capital structure…

A: As per the given information: Net income - $1,200 Capital structure 400 common shares outstanding…

Q: A. If the market price of the common stock is $40 and dividends are expected to grow at a rate of 6%…

A: Company’s cost of retained earnings financing = (D1 or dividend next year/P0)+growth rate Company’s…

Q: ubbleTree Inc. had a taxable income of $440,000 last year. Its average tax rate is 31% and it paid…

A: In this question we need to compute the value of retained earnings. To calculate retained earnings…

Q: (Corporate income tax) Sales for J. P. Hulett Inc. during the past year amounted to $4.3 million.…

A: Tax Liability: Your financial obligation to the government in the form of taxes is referred to as…

Q: Griffins Goat Farm, Inc., has sales of $667,000, costs of $329,000, depreciation expense of $73,000,…

A: Earning per share indicates that how much money a company makes for each share. It is calculated by…

Q: TKK Co., a firm that has 10,000 preferred outstanding shares, determined its financial break-even…

A:

Q: Richards Corporation had net income of $231,470 and paid dividends to common stockholders of…

A: Price-earning ratio refers to the ratio which conveys the worth of the company. In other words,…

Q: company reported earnings available to common shareholders as $4,200,000 last year. From those…

A: Cost of preferred stock is the return which the preference shareholders expect on their investments.…

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.