Macy Company has 10,000 shares of 2% cumulative preferred stock of $50 par and 25,000 shares of $75 par common stock. The following amounts were distributed as dividends: $30,000 $6,000 Year 1 Year 2 Year 3 $80,000 Required: Determine the dividends per share for preferred and common stock for each year.
Q: A company had stock outstanding as follows during each of its first three years of operations: 1,000…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: Windborn Company has 20,000 shares of cumulative preferred 2% stock, $100 par and 50,000 shares of…
A: 1. Dividend per share is the total amount of dividends. 2. Preferred and common stock is both equity…
Q: A company had stock outstanding as follows during each of its first three years of operations: 4,000…
A: Dividend is calculated on par value of share If a company is declaring dividend for both preference…
Q: Sandpiper Company has 10,000 shares of cumulative preferred 2% stock, $50 par and 50,000 shares of…
A: Formula: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value…
Q: Saba‘s company has 20,000 shares of $100 part, 2% cumulative preferred stock and 100,000 shares of…
A: Annual preferred dividends $ 40,000 20000*100*2% Preferred shareholders' are given $40,000…
Q: XYZ Company has 50,000 shares of cumulative, 2%, $20 par preferred stock and 100,000 shares of $2…
A: Cumulative preferred stock is a class of preferred stock whose dividends accumulate if they are not…
Q: Disraeli Corporation has 10,000 shares of 10%, $100 par value, cumulative preferred stock…
A: Dividend to common stockholders = 50000 shares x $1.50 per share = $75,000 Dividend to Preferred…
Q: XYZ Company has 50,000 shares of cumulative, 4%, $10 par preferred stock and 100,000 shares of $2…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: Mike and Ike Company has 40,000 shares of $100 par, 1% preferred stock and 100,000 shares of S50 par…
A: Dividend means the amount given to shareholder of the company as profit distribution by company.…
Q: Calculate the total Dividends AND the Dividends per share that the Preferred and Common Shareholders…
A: Preference Shares are shares that are given preference over and above equity shares. While…
Q: Swilley Furniture Company has 50,000 shares of cumulative preferred 2% stock, $75 par, and 100,000…
A:
Q: Sandpiper Company has 10,000 shares of cumulative preferred 1% stock, $100 par and 50,000 shares of…
A: Calculate preferred stock dividend per year.
Q: Sandpiper Company has 25,000 shares of cumulative preferred 3% stock, $50 par and 50,000 shares of…
A: The dividend is the amount paid by the company to its shareholders out of its accumulated earnings.…
Q: Sabas Company has 40,000 shares of $100 par, 1% preferred stock and 100,000 shares of $50 par common…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: Sabas Company has 40,000 shares of $100 par, 1% preferred stock and 100,000 shares of $50 par common…
A: Annual preferred dividends 40000 =40000*100*1%
Q: Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of $50…
A: Dividend distribution is a method of distributing profit among the stockholder of the organization.…
Q: Texas Inc. has 12,000 shares of 6%, $125 par value cumulative preferred stock and 92,000 shares of…
A: To meet the financial requirement of the business, companies raise the funds through external…
Q: Texas Inc. has 12,000 shares of 8%, $125 par value cumulative preferred stock and 90,000 shares of…
A: Stock Dividends: It refers to the payment of dividends by a company to its existing shareholders, in…
Q: A company had stock outstanding as follows during each of its first three years of operations: 2,500…
A: 1. Annual Preferred dividend = No. of shares*face value per share*dividend % = 2,500*$100*10% =…
Q: Sabas Company has 20,000 shares of $100 par, 2% cumulative preferred stock and 100,000 shares of $50…
A: Year 1: Annual preference dividend: 20000 shares * $100* 2% = $40000 Dividend declared in the…
Q: Seacrest Company has 25,000 shares of cumulative preferred 2% stock, $150 par and 50,000 shares ot…
A: The preferred shares are cumulative it means that if the dividend is not paid for the year then it…
Q: Oceanic Company has 25,000 shares of cumulative preferred 3% stock, $100 par and 50,000 shares of…
A: Shares are the units of the total stock of a company which shows the fractional ownership of the…
Q: A company had stock outstanding as follows during each of its first three years of operations: 1,000…
A: working note PREFERED DIVIDEND = 1,000 *100*9%=$9000
Q: Sabas Company has 50,000 shares of $100 par, 1% preferred stock and 85,000 shares of $50 par common…
A: Annual preferred dividends $50,000 = 50000*100*1%
Q: Windborn Company has 30,000 shares of cumulative preferred 1% stock, $100 par and 50,000 shares of…
A: Dividend distribution is a method of distributing profit among the stockholder of the organization.…
Q: A company had stock outstanding as follows during each of its first three years of operations: 2,000…
A: Preference Stock: These are the shares that earn a fixed rate of dividend on the number of shares…
Q: Windborn Company has 25,000 shares of cumulative preferred 3% stock, $100 par and 50,000 shares of…
A: Annual Dividend on Preferred stock = 25,000 x $100 x 3%Annual Dividend on Preferred stock = $75,000…
Q: Sandpiper Company has 10,000 shares of cumulative preferred 3% stock, $50 par and 50,000 shares of…
A: Dividends are paid in two types Stock dividends and Cash dividends. Stock dividend means a payment…
Q: There are 10,000 shares of $10 par value common stock, 10,000 shares of 7 percent nonparticipating…
A: common stock denotes a company's partial ownership. Common investors normally have voting rights in…
Q: Castillo Nutrition Company has 14,000 shares of cumulative preferred 1% stock, $130 par, and 70,000…
A: Cumulative Preference Share: In the case of cumulative preferred stock, a clause states that…
Q: Sandpiper company has 20,000 share of 1% cumulative preferred stock of $100 par and 100,000 shares…
A: Dividend: It can be defined as the distribution of a company's surplus residual earnings among its…
Q: Sanchez Company has 38,000 shares of 5% preferred stock of $100 par and 112,000 shares of $50 par…
A: Year 1 Year 2 Year 3 Total amount of dividend distributed $ 5,38,000 $…
Q: A company had stock outstanding as follows during each of its first three years of operations: 4,000…
A: Solution: Computation of dividend per share to Preferred and common shareholders Year Total…
Q: Sandpiper Company has 20,000 shares of cumulative preferred 1% stock of $100 par and 100,000 shares…
A: Dividend per share: Dividend per share represents the amount of dividend paid to each…
Q: Seacrest Company has 15,000 shares of cumulative preferred 2% stock, $50 par and 50,000 shares of…
A: Dividends is the part or share of profits that is being distributed to the shareholders of the…
Q: A company had stock outstanding as follows during each of its first three years of operations: 3,000…
A: The dividend is considered as a part of the distributable profit distributed by the company to its…
Q: Year 1: $10,000 Year 2: 45,000 Year 3: 90,000 Determine the dividends per share for preferred and…
A: Generally, companies distribute a portion of there profit as dividend while retaining the remaining…
Q: Gore, Inc. has 50,000 shares of $100 par, 1% preferred stock and 100,000 shares of $50 par common…
A: Equity shares are those shares which do not have preferential right on dividend and repayment of…
Q: Master Company has 10,000 preferred shares with 2% cumulative dividends with a par value per share…
A: Table showing dividend distribution to preferred and common shareholder each year Years Dividend…
Q: ndborn Company has 15,000 shares of cumulative preferred 3% stock, $50 par and 50,000 shares of $10…
A: Cumulative preferred stock are those stocks which gets preference for dividend over ordinary common…
Q: Sandpiper Company has 15,000 shares of cumulative preferred 3% stock, $100 par and S50,000 shares of…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: Macy Company has 10,000 shares of 2% cumulative preferred stock of $50 par and 25,000 shares of $75…
A: Cumulative Preferred Stock: Cumulative preferred stock has a clause that states that if any dividend…
Q: A company had stock outstanding as follows during each of its first three years of operations: 1,000…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: Seacrest Company has 15,000 shares of cumulative preferred 1% stock, $100 par and 50,000 shares of…
A: The dividend is paid to shareholders every year on outstanding shares.
Q: A company had stock outstanding as follows during each of its first three years of operations: 3,000…
A: The dividend is paid to the stockholders as the return on the investment. It is paid out of the…
Q: Windborn Company has 20,000 shares of cumulative preferred 2% stock, $100 par and 50,000 shares of…
A: Solution: In order to compute dividend per share for each class of stockholders, first we compute…
Q: company had stock outstanding as follows during each of its first three years of operations: 2,000…
A: Dividend is the part or share of profits that is being distributed to the shareholders. It can be…
Q: A company had stock outstanding as follows during each of its first three years of operations: 1,000…
A: Cumulative preferred shares mean the shareholder will get first preference in dividend payment. Also…
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- Given the following year-end information, compute Greenwood Corporations basic and diluted earnings per share. Net income, 15,000 The income tax rate, 30% 4,000 shares of common stock were outstanding the entire year. shares of 10%, 50 par (and issuance price) convertible preferred stock were outstanding the entire year. Dividends of 2,500 were declared on this stock during the year. Each share of preferred stock is convertible into 5 shares of common stock.Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 20 par common stock at 30, receiving cash. b. Issued 4, 000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 37 5. The bonds are classified as a held-to-maturity long -term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0 .60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 45, including commission. p. Recorded the payment of semiannual interest on the bonds issue d in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method . q. Accrued interest for three months on the Dream Inc. bonds purchased in (I). r. Pinkberry Co. recorded total earnings of 240 ,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39. 02 per share on December 31, 2016. The investment is adjusted to fair value , using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments h ad a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transaction s for the year ended December 31, 201 6, had been poste d [including the transactions recorded in part (1) and all adjusting entries), the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step in come statement for the year ended December 31, 201 6, concluding with earnings per share . In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. ( Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 20 6. c. Prepare a balance sheet in report form as of December 31, 2016.Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. Open the file STOCKEQ from the website for this book at cengagebrain.com. Enter the formulas in the appropriate cells on the worksheet. Then fill in the columns to show the effect of each of the selected transactions and events listed earlier. Enter your name in cell A1. Save the completed worksheet as STOCKEQ2. Print the worksheet. Also print your formulas. Check figure: Total stockholders equity balance at 12/31/12 (cell G21). 398,800.
- Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. In the space provided below, prepare the stockholders equity section of Chen Corporations balance sheet as of December 31, 2012. Use proper headings and provide full disclosure of all appropriate information. Chens corporate charter authorizes the issuance of 1,000 shares of preferred stock and 100,000 shares of common stock.Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements.COMMON AND PREFERRED CASH DIVIDENDS Ramirez Company currently has 100,000 shares of 1 par common stock outstanding and 5,000 shares of 50 par preferred stock outstanding. On July 10, the board of directors declared a semiannual dividend of 0.30 per share on common stock to shareholders of record on August 1, payable on August 5. On July 15, the board of directors declared a semiannual dividend of 5 per share on preferred stock to shareholders of record on August 5, payable on August 10. Prepare journal entries for the declaration and payment of the common and preferred stock cash dividends.
- Brunleigh Corporation earned net income of $200,000 this year. The company began the year with 10,000 shares of common stock and issued 5,000 more on April 1. They issued $7,500 in preferred dividends for the year. What is Brunleigh Corporations weighted average number of shares for the year?Longmont Corporation earned net income of $90,000 this year. The company began the year with 600 shares of common stock and issued 500 more on April 1. They issued $5,000 in preferred dividends for the year. What is the numerator of the EPS calculation for Longmont?Jupiter Corporation earned net income of $90,000 this year. The company began the year with 600 shares of common stock and issued 500 more on April 1. They issued $5,000 in preferred dividends for the year. What is Jupiter Corporations weighted average number of shares for the year?