How much is the total shareholders' equity on December 31, 2021?
Q: Transactions and events during 2021 (summarized in thousands of dollars) follow: a. Borrowed $12…
A: Ratio Analysis - The ratio is the technique used by the prospective investor or an individual or…
Q: Tempo Company's fixed budget (based on sales of 16,000 units) for the first quarter reveals the…
A: Total Variable Cost :— It means cost which changes with change in units. It depends on Units.…
Q: Nevada Corporation has 68,200 shares of $25 par stock outstanding that has a current market value of…
A: Introduction: Stock split: Splitting of shares face value in to parts called as Stock split. Market…
Q: 4. Find the compound amount and interest on P360,000 for 8 years and 6 months at 10% compounded…
A: Compound Amount = P x (1 + r)^n Interest = Compound Amount - Principal
Q: Calculate dividends, if any, declared during the year from the given information: Wallace Corp…
A: Computation of ending liabilities=Beginning liabilities - Liability decrease
Q: mpany’s financial statements as well as the Industry Average Ratios are provided as follows. Star…
A: Ratio Analysis : It is the numeric relationship between the two items of the financial statements to…
Q: Journalize Apr. 30 Aug. 30 the following, assuming a 360-day year is used for interest computations:…
A: Journal entry : A Journal entry is the demonstration of keeping or making records of any exchanges…
Q: (b) Assume Displays Incorporated $65,000 beginning balance of inventory comes from the base year…
A: Given in the question: Inventory at beginning of the year = $16,000 Cost index at the beginning of…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: Cost of goods manufactured: Cost of goods manufactured means total manufacturing costs; including…
Q: Transactions and events during 2021 (summarized in thousands of dollars) follow: a. Borrowed $12…
A: 1. Income Statement 2. Balance Sheet The first statement shows the income earned and loss incurred…
Q: able - £30,000 Notes Payable - £30,000 Building and Improvements - £250,000 Account…
A: whenever the preparation of balance sheet is done by the company there are certain rules which…
Q: he share of JKL from the net income of the partnershi
A: A partnership is a business entity that consists of two or more people who are working together to…
Q: M Service Co. reported the following for its defined-benefit pension plan for 2020:…
A: Introduction: A projected benefit obligation (PBO) is an economic assessment of how much money a…
Q: 3. Jansen Company sells a product for $400 per unit, which includes a 30-day warranty against…
A: Number of defects are = 32 units = 800 units × 4%
Q: 3. If money is invested at 13% compounded quarterly, find the present value of P11,200 due at the…
A: Present Value :— It Means value of Money Or Cash Flow in today. It uses Time Value of Money Fir it's…
Q: Cullumber Limited competes in the fast food industry with Bramble Limited. Cullumber underwent a…
A: The ratio analysis helps to analyze the financial statements with different elements of financial…
Q: Green and white company reported the following monthly data: Units produced Sales price Direct…
A: The contribution margin is calculated as difference between sales and variable costs. The net income…
Q: The table below shows the values for several different components of GDP. Billions of Dollars $ 245…
A: calculation of above requirement are as follows
Q: If the maximum daily demand for enamel paint is at 2 tons, determine the production output that…
A: When the resources are in short quantity than the required for production, company has to decide,…
Q: PA9-2 (Algo) Recording and Interpreting the Ly Company disposed of two different assets. On January…
A: A record is frequently maintained in the general ledger, but it can alternatively be maintained in a…
Q: In how many months will money become three times itself at 9% compounded semiannually? Solution:
A: Future Value = Present Value x (1 + r)^n Rearranging the formula, we get (1 + r)^n = Future Value /…
Q: Beginning Inventory 3 units @ $4 $12 Purchases 10 units @ $7 $70 Sales 8 units What is CGS…
A: FIFO stands for First in First Out method. It is an inventory valuation method where the Inventory…
Q: Which of the following costs would be included on an income statement for both a merchandising…
A: Merchandising concern - This entity deals with buying and selling inventory from the supplier to the…
Q: Instructions: Identify each of the following accounts as an asset, Liability or Equity. DESCRIPTION…
A: Introduction: Balance sheet: All the assets and liabilities are to be shown in Balance sheet. It…
Q: ) A purchase of equipment for $18 000 also involved fre and installation costs of $2 500. The…
A: Straight Line Method of Depreciation: Under this method the depreciation is charged on the original…
Q: Calculate the ratio (expressed to two decimal places) for 2021 to reflect each of the following:…
A: 1) An indicator of how profitable a company is relative to its total assets. Is return on asset…
Q: Belle Company reports the following information for the current year. All beginning inventory…
A: Here discuss about the details of the preparation of net income using variable costing techniques as…
Q: What type of cost accounting system would be most appropriate to be used by a candy making company?…
A: Manufacturing Company: A manufacturer is a person or corporation that manufactures completed things…
Q: QUESTION 3 Sehat (Pty) Ltd, a resident company that was formed in 2005, has a 31 March financial…
A: The tax slab rate as applicable is as follows: Taxable Income (R) Tax Rate 1 - 216,200 18%…
Q: On 1 January 2015, Telupid Bhd acquired a fabric design from a well-known fashion designer at…
A: Acquisition is an transaction between two companies where one company purchases all the assets and…
Q: Use the information provided below to calculate the number of units of Product Tex that must be…
A: Required units to be produced = Estimated units of sale + Required closing inventory - opening…
Q: What is included on line 1 of 1040 in the following problem? Matthew’s annual salary from The Pour…
A: Line 1 item of Form 1040 includes all the income earned by an individual which is reported on the…
Q: The balance in net accounts receivable on 30 June is: The balance in allowance for doubtful debts…
A: Computation of Balance of net accounts receivable as on 30 June in the hand of Com. A Accounts…
Q: BFAR Corp. was authorized to issue 500,000 ordinary shares with a par value of P10. One of its…
A: Delinquent shares is a share which has not been paid by the subscriber and therefore such shares are…
Q: X Corp conducted a study about the mfg of its product and provides the following data: Time from…
A: Total manufacturing cycle time = Process time + Inspection time + Queue time + Move time…
Q: Prepare the necessary journal entries to record the following transactions, assuming Dakin Company…
A: Perpetual inventory system: It is a method of inventory management that records real-time…
Q: a. What is the YTM of a perpetual bond with an annual coupon of $6 and currently selling at $108?
A: Since you have asked two different questions, we will solve the first question for you . If you want…
Q: Partners ABC, DEF, GHI and JKL initially invested P45,000; P60,000; P65,000 and P85,000 each to form…
A: Net income of partnership is the amount of profits earned by the partnership firm. This is to be…
Q: The Dorilane Company produces a set of wood patio furniture consisting of a table and four customer…
A: Cost is classified into two categories: Fixed: It is the cost that remains same as a whole but…
Q: 2. Complete the below table to calculate income statement data in common-size percents. (Round your…
A: Common size financial statement refers to an analysis statement of the record of a company in a…
Q: ABC Corporation is experiencing difficulty in paying its bills and is considering filing for…
A: Secured creditors co. Praises of fallowing Both wages and taxes payable
Q: Beginning Inventory 3 units @ $4 $12 Purchases 10 units @ $7 $70 Sales 8 units What is CGS…
A: Introduction: The cost of goods sold (COGS) is the cost of gaining or manufacturing a product that a…
Q: Courtney and Matthew are married filing jointly. Courtney is a self-employed architect. They are…
A: Form 1040 states that how the person file the federal income tax return with the authorities names…
Q: Mind Explorers issues bonds with a stated interest rate of 7%, face value of $220,000, and due in 10…
A: Current Price of Bond: The current interest rate is compared to the interest rate that is indicated…
Q: toursville trol Company, which manufactures electrical switches,
A: In Standard Costing , Variance means deviation from standard norms.…
Q: At December 31, 2022, Culver Corporation reported the following plant assets. Apr. May June July…
A: Following is the answer
Q: Monty Corp. reported net sales $610,000, cost of goods sold $366,000, operating expenses $151,000,…
A: Introduction: Profit margin: It tells the profitability of the company so its a profitability ratio.…
Q: Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and…
A: The incremental cost is also known as marginal cost. It is an additional cost incurred due to an…
Q: Wayne and Tammi are partners in The Ivy Arrow . The firm has supplied the following details as…
A: A partnership is a kind of business structure in which two or more people agree to carry out…
Q: Which of the following would be considered as direct labor for the manufacture of denim jeans?…
A: Direct Labor - Direct Labor is the manpower used to operate some machine used in the manufacturing…
Step by step
Solved in 2 steps
- Hyde Corporations capital structure at December 31, 2018, was as follows: On July 2, 2019, Hyde issued a 10% stock dividend on its common stock and paid a cash dividend of 2.00 per share on its preferred stock. Net income for the year ended December 31, 2019, was 780,000. What should be Hydes 2019 basic earnings per share? a. 7.80 b. 7.09 c. 7.68 d. 6.73Raun Company had the following equity items as of December 31, 2019: Preferred stock, 9% cumulative, 100 par, convertible Paid-in capital in excess of par value on preferred stock Common stock, 1 stated value Paid-in capital in excess of stated value on common stock| Retained earnings The following additional information about Raun was available for the year ended December 31, 2019: 1. There were 2 million shares of preferred stock authorized, of which 1 million were outstanding. All 1 million shares outstanding were issued on January 2, 2016, for 120 a share. The preferred stock is convertible into common stock on a 1-for-1 basis until December 31, 2025; thereafter, the preferred stock ceases to be convertible and is callable at par value by the company. No preferred stock has been converted into common stock, and there were no dividends in arrears at December 31, 2019. 2. The common stock has been issued at amounts above stated value per share since incorporation in 2002. Of the 5 million shares authorized, 3,580,000 were outstanding at January 1, 2019. The market price of the outstanding common stock has increased slowly but consistently for the last 5 years. 3. Raun has an employee share option plan where certain key employees and officers may purchase shares of common stock at 100% of the marker price at the date of the option grant. All options are exercisable in installments of one-third each year, commencing 1 year after the date of the grant, and expire if not exercised within 4 years of the grant date. On January 1, 2019, options for 70,000 shares were outstanding at prices ranging from 47 to 83 a share. Options for 20,000 shares were exercised at 47 to 79 a share during 2019. During 2019, no options expired and additional options for 15,000 shares were granted at 86 a share. The 65,000 options outstanding at December 31, 2019, were exercisable at 54 to 86 a share; of these, 30,000 were exercisable at that date at prices ranging from 54 to 79 a share. 4. Raun also has an employee share purchase plan whereby the company pays one-half and the employee pays one-half of the market price of the stock at the date of the subscription. During 2019, employees subscribed to 60,000 shares at an average price of 87 a share. All 60,000 shares were paid for and issued late in September 2019. 5. On December 31, 2019, there was a total of 355,000 shares of common stock set aside for the granting of future share options and for future purchases under the employee share purchase plan. The only changes in the shareholders equity for 2019 were those described previously, the 2019 net income, and the cash dividends paid. Required: Prepare the shareholders equity section of Rauns balance sheet at December 31, 2019. Substitute, where appropriate, Xs for unknown dollar amounts. Use good form and provide full disclosure. Write appropriate notes as they should appear in the publisher financial statements.Waseca Company had 5 convertible securities outstanding during all of 2019. It paid the appropriate interest (and amortized any related premium or discount using the straight line method) and dividends on each security during 2019. Each of the convertible securities is described in the following table: Additional data: Net income for 2019 totaled 119,460. The weighted average number of common shares outstanding during 2019 was 40,000 shares. No share options or warrants arc outstanding. The effective corporate income tax rate is 30%. Required: 1. Prepare a schedule that lists the impact of the assumed conversion of each convertible security on diluted earnings per share. 2. Prepare a ranking of the order in which each of the convertible securities should be included in diluted earnings per share. 3. Compute basic earnings per share. 4. Compute diluted earnings per share. 5. Indicate the amount(s) of the earnings per share that Waseca would report on its 2019 income statement.
- On January 1, 2019, Kittson Company had a retained earnings balance of 218,600. It is subject to a 30% corporate income tax rate. During 2019, Kittson earned net income of 67,000, and the following events occurred: 1. Cash dividends of 3 per share on 4,000 shares of common stock were declared and paid. 2. A small stock dividend was declared and issued. The dividend consisted of 600 shares of 10 par common stock. On the date of declaration, the market price of the companys common stock was 36 per share. 3. The company recalled and retired 500 shares of 100 par preferred stock. The call price was 125 per share; the stock had originally been issued for 110 per share. 4. The company discovered that it had erroneously recorded depreciation expense of 45,000 in 2018 for both financial reporting and income tax reporting. The correct depreciation for 2018 should have been 20,000. This is considered a material error. Required: 1. Prepare journal entries to record Items 1 through 4. 2. Prepare Kittsons statement of retained earnings for the year ended December 31, 2019.Contributed Capital Adams Companys records provide the following information on December 31, 2019: Additional information: 1. Common stock has a 5 par value, 50,000 shares are authorized, 15,000 shares have been issued and are outstanding. 2. Preferred stock has a 100 par value, 3,000 shares are authorized, 800 shares have been issued and are outstanding. Two hundred shares have been subscribed at 120 per share. The stock pays an 8% dividend, is cumulative, and is callable at 130 per share. 3. Bonds payable mature on January 1, 2023. They carry a 12% annual interest rate, payable semiannually. Required: Prepare the Contributed Capital section of the December 31, 2019, balance sheet for Adams. Include appropriate parenthetical notes.During 2021, Anthony Company purchased debt securities as a long-term investment and classified them as trading. All securities were purchased at par value. Pertinent data are as follows: The net holding gain or loss included in Anthonys income statement for the year should be: a. 0 b. 3,000 gain c. 9,000 loss d. 12,000 loss
- Lyon Company shows the following condensed income statement information for the year ended December 31, 2019: Lyon declared dividends of 6,000 on preferred stock and 17,280 on common stock. At the beginning of 2019, 10,000 shares of common stock were outstanding. On May 1, 2019, the company issued 2,000 additional common shares, and on October 31, 2019, it issued a 20% stock dividend on its common stock. The preferred stock is not convertible. Required: 1. Compute the 2019 basic earnings per share. 2. Show the 2019 income statement disclosure of basic earnings per share. 3. Draft a related note to accompany the 2019 financial statements.Anoka Company reported the following selected items in the shareholders equity section of its balance sheet on December 31, 2019, and 2020: In addition, it listed the following selected pretax items as a December 31, 2019 and 2020: The preferred shares were outstanding during all of 2019 and 2020; annual dividends were declared and paid in each year. During 2019, 2,000 common shares were sold for cash on October 4. During 2020, a 20% stock dividend was declared and issued in early May. At the end of 2019 and 2020, the common stock was selling for 25.75 and 32.20, respectively. The company is subject to a 30% income tax rate. Required: 1. Prepare the comparative 2019 and 2020 income statements (multiple-step), and the related note that would appear in Anokas 2020 annual report. 2. Next Level Compute the price/earnings ratio for 2020. How does this compare to 2019? Why is it different?Cary Corporation has 50,000 shares of 10 par common stock authorized. The following transactions took place during 2019, the first year of the corporations existence: Sold 5,000 shares of common stock for 18 per share. Issued 5,000 shares of common stock in exchange for a patent valued at 100,000. At the end of Carys first year, total contributed capital amounted to: a. 40,000 b. 90,000 c. 100,000 d. 190,000
- Common Dividends Thompson Payroll Service began in 2019 with 1,500,000 authorized and 820,000 issued and outstanding S8 par common shares. During 2019, Thompson entered into the following transactions: Declared a S0.20 per-share cash dividend on March 24. Paid the S0.20 per-share dividend on April 6. Repurchased 13,000 common shares for the treasury at a cost of S12 each on May 9. Sold 2,500 unissued common shares for $15 per share on June 19. Declared a $0.40 per-share cash dividend on August 1. Paid the $0.40 per-share dividend on September 14. Declared and paid a 10% stock dividend on October 25 when the market price of the common stock was $15 per share. Declared a 50.45 per-share cash dividend on November 20. Paid the $0.45 per-share dividend on December 20. Required: Prepare journal entries for each of these transactions. (Note: Round to the nearest dollar.) What is the total dollar amount of dividends (cash and stock) for the year? CONCEPTUAL CONNECTION Determine the effect on total assets and total stockholders equity of these dividend transactions.Del Valle Company provided the following shareholders’ equity on December 31, 2021: Preference share capital, 10% P50 par (cumulative and nonparticipating) 1,000,000 Preference share capital, 8% P50 par (noncumulative and participating) 1,500,000 Ordinary share capital, P100 2,500,000 Share premium 500,000 Retained earnings 600,000 Dividends have been paid on the preference share up to December 31, 2018.compute the book value per ordinary shareThe Shareholders’ Equity section of Green Corporation at December 31, 2019 showed the following: 8% cumulative Preference share capital, P 100 par, liquidating value P110 - P2,000,000; Ordinary Share Capital, P50 par - P2,500,000; Additional Paid In Capital - P 500,000; Retained Earnings - P 1,000,000. During the year, the company earned profit of P 500,000. a. Compute the book value per share for the Preference share assuming dividends are in arrears for 3 years including the current year. b. Compute the book value per share for the Ordinary Share Capital.