How are taxes paid on stocks owned ?

Q: How does preferred stock differ from bothcommon equity and debt? Is preferred stock morerisky than…

A: Difference between equity stock and preference stock: Both equity shares and preference shares…

Q: What are the different types of dividends, and how is a dividend paid?

A: A portion of profits payable to the shareholders by the company on a regular period is termed as…

Q: How Is Treasury Stock Recorded?

A: Treasury stock: Treasury stocks are the company's own stocks reacquired by the company which were…

Q: What does the rate of return on common stock show, and how is it calculated?

A: Rate of return on the common stock: It signifies the amount of net income that has been retained for…

Q: What are the pros and cons of All Cash deal vs Stock deals and Taxes

A: The question is based on the concept of merger and acquisition (M&A) by use of different methods…

Q: What is the difference between common stock, preferred stock, and treasury stock?

A: The company can raise money from the investors by issuing the common stock or preference stock.…

Q: What does the treasury stock method, “proceeds” include?

A: Earnings per share (EPS): The amount of net income available to each shareholder per common share…

Q: What are stock dividends and stock splits?

A: Stock dividend: It is a dividend installment made in shares instead of as money to investors. The…

Q: In what ways is preferred stock like long-term debt? In what ways is it like equity?

A: Preferred stocks are issued to raise capital for the firm. Other forms of fund raising methods are…

Q: Between stocks and bonds, which do you prefer to invest your money? Why?

A: Stock and bonds are two different types of instruments of investment.

Q: Which does not affect total stockholders' equity? Property dividend Cash dividend…

A:

Q: How are preliminary levels of debt, preferred stock, common stock,and dividends projected?

A: The debt, preferred stock, common stock and dividends are projected on the basis of the unlevered…

Q: What is the difference between stocks issued and cash dividends declaration?

A: Stock issued: Stock issued means that the company authorized and delivery of shares of stock for…

Q: What is a treasury shares?

A: The Question has covered the concept of Treasury shares. When a company buys back its outstanding…

Q: How do cash dividends affect the realized rate of return from investing in shares of common stock

A: Cash dividends are distribution of profits earned by a company is cash. These are inflows for…

Q: What account is used to record the premium when issuing common stock? What type of account is this?

A: Determine the account used to record the premium when issuing common stock.The issue of common stock…

Q: Why Shares repurchased and not retired are referred to as treasury stock?

A: Treasury stock is also known as treasury shares or reacquired stock. It refers to that previous…

Q: What is the difference between a cash dividend and a stock dividend?

A: Cash dividends are the amount of cash distributed to stockholders by a company out of its earnings,…

Q: Who owns treasury stock?

A: Outstanding Stock: The stock which is issued by the company and now held by the investors is known…

Q: What is meant by the dividend yield on a common stock investment?

A: Not all the tools of fundamental analysis work for every investor on every stock.  For dividend…

Q: How do you record retirement of treasury shares?

A: There are two methods for retiring treasury stock  (1) cost method : in this method the following…

Q: What were the total proceeds from the common-stock sale?

A: The question is based on the concept of issue of Common stock with underwriting of issue.

Q: How will the balance in Treasury Stock be reported on the balance sheet?

A: Treasury stocks are those shares which are required by the firm. So It is a portion of previously…

Q: What does common stock represent?

A: The shareholders' equity section is presented on the liabilities side of balance sheet. This section…

Q: How to calculate market price range of common stock?

A: Market price per share: A market price per share is total value of company divided by number of…

Q: How to report treasury stock in financial statements

A: Treasury Stock: It refers to the shares that are reacquired by the corporation that are already…

Q: Why are unrealized gains and losses on trading securities reported in the incomestatement?

A: Unrealized gains and losses: Trading securities are reported at their fair values. Unrealized gains…

Q: How do we determine the book value of a stock?

A: Book value is the value of total equity or net asset value of the business. The book value of stock…

Q: Why are stocks categorized in terms of market capitalization

A: The total market worth of a firm expressed in dollars is its market capitalization, also referred to…

Q: What is current stock price?

A: Stock means equity part of the company. Companies’ capital structure may contain debt, equity, and…

Q: what is the after tax ytm? what is the cost of common stock? what is the cost of preferred stock…

A: Yield to maturity considers the coupon payment along with the price of the bond. Yield to maturity…

Q: Explain the stock market, bond market, capital market and money market

A: STOCK MARKET It is a collection of markets where publicly held companies issue their shares and the…

Q: What is treasury stock? What type of account is Treasury Stock, and what is the account’s normal…

A: Stock: It refers to a security issued in a form of certificate. It implies the right of ownership of…

Q: How does pe effect the stock market

A: PE reflects the price to earning ratio. It is the ratio of current market price to the earning for…

Q: Is treasury stock an asset? explain.

A: Treasury Stock: It refers to the shares that are reacquired by the corporation that are already…

Q: What is treasury stock?

A: Ownership of an organization can be broken down into small parts or units also known as Shares.…

Q: How would I calculate net income if given the accounts of Cash, AR, Inventory, Investments, AP,…

A: We know that the total of assets is equal to the total of liabilities. We can use this information…

Q: how do i pay for stocks

A: Its clear from the question that you want to buy the stocks and want to know how to pay for them.…

Q: what is the dividend paid by this stock?

A: Required rate of return=Annual dividend/Current value

Q: What happens to the buyer's assets and equity when they buy treasury stock?

A: This question tells about The purchase of Treasury shares has an impact on the assets and equity of…

Q: how would you value the assets, liabilites and equity and stock values ?

A: Assets valuation is the way of  deciding the reasonable market or present estimation of resources,…

Q: How does one calculate the capital gains yield and the dividendyield of a stock?

A: Capital gain yield: The capital gain yield mainly refers to the increase in the security’s price,…