6 1-49 Presenting Paid-in CapitalHonda Motor Company is the largest producer of motorcycles in the world, as well as a majorauto manufacturer. Honda included the following items in its 2011 balance sheet (in millions ofJapanese Yen, ¥):Common stock-authorized 7,086,000,000 shares;issued 1,811,428,430 sharesCapital surplus**Honda uses the term "capital surplus" instead of the preferred terms, additionalpaid-in capital or capital in excess of par value.¥ 86,067172,5291. What is the par value of Honda's common stock?2. What was the average price per share paid by the original investors for the Honda common stock?3. How do your answers compare with the ¥3,000 market price of the stock at the end of fiscal2011? Comment briefly.▶O

Stockholders' equity refers to that residual amount of the business which belongs to the owners' of…

Answered: Honda Motor Company is the largest…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Problem 1 (Adapted)The shareholders’ equity of Yelan Company showed the following account balances on December 31, 2018:Share capital, P100 5,000,000Share Premium 1,000,000Retained earnings 2,000,000Revaluation surplus 800,000 Compute the book value per share on December 31, 2018.
The following information has been extracted from the published accounts of Pesa Corporation Limited, a company quoted on the Nairobi Stock Exchange. Shs. Net profit after tax and interest 990,000 Less: dividends for the period 740,000 Transfer to reserves 250,000 Accumulated reserves brought forward 810,000 Reserves carried forward 1,060,000 Share capital (Sh.10 par valu Sh.8,000,000 Market price per share now 12% RequiredCalculate…
Qs) For its fiscal year- end, Calvan Water Corporation (CWC) reported net income of $12 million and a weighted average of 2,000,000 common shares outstanding. The company paid $800,000 in preferred dividends and had 100,000 options outstanding with an average exercise price of $20. CWC’s market price over the year averaged $25 per share. What is CWC’s diluted EPS under: a- US GAAP b- IFRS
Problem 2: (Paid-In Capital is also called Share Premium) Shown below are account balances found in the ledger of Emerald Green Corporation at the end of 2014: 720,000 364,000 Subscription Receivable- Preference Shares Subscription Receivable- Ordinary Share 10% Preference Share Capital, P50 par value, authorized, 100,000 shares P 2,880,000 1,440,000 Issued Subscribed 4,320,000 Ordinary Share Capital, no par, P10 stated value, authorized, 300,000 shares Issued Subscribed P 2,720,000 560,000 3,280,000 Paid-In Capital in Excess of Par or Stated Value Préference share Ordinary share 432,000 656,000 P. 1,088,000 Instructions: Compute for each of the item shown below. Present supporting computation in good form in a separate work sheet. 1. Number of preference share issued. 2. Number of ordinary shares issued. 3. Number of preference shares subscribed. 4. Number of ordinary shares subscribed. Average price per share received by the corporation on its preference share capital including…
e Home Dividend constraints The Howe Company's stockholders' equity account is as follows: . The earnings available for common stockholders from this period's ase Options operations are $100,000, which have been included as part of the $1.6 million retained earnings. a. What is the maximum dividend per share that the firm can pay? (Assume that legal capital includes all paid-in capital.) b. If the firm has $160,000 in cash, what is the largest per-share dividend it can pay without borrowing? c. Indicate the accounts and changes, if any, that will result if the firm pays the dividends indicated in parts a and b. d. Indicate the effects of an $80,000 cash dividend on stockholders' equity. dar a. The maximum dividend per share that the firm can is $ (Round to the nearest cent.) b. If the firm has $160,000 in cash, the largest per-share dividend it can pay without borrowing is $ (Round to the nearest cent.) c. If the firm pays the dividends indicated in part a, cash will decrease by $…
LL R You are considering a stock investment in one of two firms (LotsofDebt, Inc. and LotsofEquity, Inc.), both of which operate in the same industry, LotsofDebt, Inc. finances its $36.00 million in assets with $33.00 million in debt and $3.00 million in equity. LotsofEquity, Inc finances its $36.00 million in assets with $3.00 million in debt and $33..00 million in equity. Calculate the debt ratio. (Round your answers to 2 decimal places.) LotsofDebt, Inc. LotsofEquity. Ino Calculate the equity multiplier. (Round your answers to 2 declmal places.) Equity multiplier LotsofDebt, Inc. LotsofEquity. Ine. Calculate the debt-to-equity. (Round your answers to 2 declmal places.) Debt-to-equity LotsofDebt. Inc. LotsofEquity, Inc. Mc <. Prev MED Type here to search DOOH F2 F4 F5 F7 F10 F11 F12 PrtScr 8- & 23 24 2 ) 4. 5. 9. 7. 8. %3D } 1
Current assets Long-term assets Total Locust Farming Balance Sheet ($ in millions) $ 42,524 46,832 Current liabilities Long-term debt Other liabilities Equity $ 89,356 Total $ 29,755 27,752 14,317 17,532 $ 89,356 Locust has 657 million shares outstanding with a market price of $83 a share. a. Calculate the company's market value added. b. Calculate the market-to-book ratio. c. How much value has the company created for its shareholders as a percent of shareholders' equity, that is, as a percent of the net capital contributed by shareholders?
The Mike Corporation’s statement of financial position shows total shareholders’ equity of P3,150,000 as of December 31, 2016. a. What is the book value per share, assuming that the company has only one class of share capital outstanding consisting of 50,000, P10 par ordinary shares?A. P10.00B. P63.00C. P70.20D. P73.00 b. What is the book value per ordinary share assuming that the company has two classes of share capital outstanding consisting of the following: 5,000, P100 par value preference shares with a liquidation value of P120 per share and 50,000, P10 par value ordinary shares?A. P10.00B. P51.00C. P53.00D. P63.00
A company’s capital structure at December 2002 is as follows: $m Ordinary share capital 380 Accumulated profits 120 —— 500 8% Loan notes 100 —— 600 —— The company’s income statement shows the following for the year ended 31 December 2002: $m Operating profit 40 Interest paid 8 —— 32 Taxation 10 —— 22 Dividends paid 10 —— Retained profit for year 12 —— What is the return on equity shareholders’ capital employed, using closing capital figures? A 4·4% B 2·4% C 3·7% D 5·8%
Assume that you have just purchased some shares in an investment company reporting $570 million in assets, $24 millon in liabilities, and 36 million shares outstanding. What is the Net Asset Value (NAV) of these shares? Multiple Cholce $22.25 $9.58 $1.50 $1517
a company has the following items: share capital-ordinaty: $920,000 treasury shares : $85,000 deferred taxes $100,000 retained earning : $ 363,000 which ammount should be report as total equity ? A- 1098000 B- 1198000 C- 1298000 D- 1398000
13 - On 04.05.2020, our enterprise sold 1,000 of the shares of Kardemir A.Ş., which it had purchased for a temporary investment of 12 TL, for 15 TL each, and after paying a commission of 250 TL to the relevant bank, the remaining amount was deposited into the bank account of the enterprise. Which of the following calculations is incorrect? a) 653 Commission Expenses Hs. 250 TL Borrowed B) 110 Stocks Hs. 12.000 TL Creditor NS) 655 Securities Sales Profits Hs. 3.000 TL Creditor D) 102 Banks Hs. 14.750 TL Debtor TO) 645 Securities Sales Profits Hs. 3.000 TL Debtor

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