On January 1, 2021, Novak Corp. had 479,000 shares of common stock outstanding. During 2021, it had the following transactions that affected the Common Stock account. February 1 Issued 117,000 shares March 1 Issued a 10% stock dividend May 1 Acquired 103,000 shares of treasury stock June 1 Issued a 3-for-1 stock split October 1 Reissued 59,000 shares of treasury stock Part 1 Determine the weighted-average number of shares outstanding as of December 31, 2021. The weighted-average number of shares outstanding enter the weighted-average number of shares outstanding as of December 31, 2018 Part 2 Assume that Novak Corp. earned net income of $ 3,408,000 during 2021. In addition, it had 102,000 shares of 10%, $ 100 par nonconvertible, noncumulative preferred stock outstanding for the entire year. Because of liquidity considerations, however, the company did not declare and pay a preferred dividend in 2021. Compute earnings per share for 2021, using the weighted-average number of shares determined in part (a). (Round answer to 2 decimal places, e.g. $2.55.) Earnings Per Share $ enter earnings per share rounded to 2 decimal places Part 3 Assume the same facts as in part (b), except that the preferred stock was cumulative. Compute earnings per share for 2021. (Round answer to 2 decimal places, e.g. $2.55.) Earnings Per Share $ enter earnings per share rounded to 2 decimal places Part 4 Assume the same facts as in part (b), except that net income included a loss from discontinued operations of $ 426,000 (net of tax). Compute earnings per share for 2021. (Round answer to 2 decimal places, e.g. $2.55.) Novak Corp. Income Statement choose the accounting period select an opening name for this statement
On January 1, 2021, Novak Corp. had 479,000 shares of common stock outstanding. During 2021, it had the following transactions that affected the Common Stock account. February 1 Issued 117,000 shares March 1 Issued a 10% stock dividend May 1 Acquired 103,000 shares of treasury stock June 1 Issued a 3-for-1 stock split October 1 Reissued 59,000 shares of treasury stock Part 1 Determine the weighted-average number of shares outstanding as of December 31, 2021. The weighted-average number of shares outstanding enter the weighted-average number of shares outstanding as of December 31, 2018 Part 2 Assume that Novak Corp. earned net income of $ 3,408,000 during 2021. In addition, it had 102,000 shares of 10%, $ 100 par nonconvertible, noncumulative preferred stock outstanding for the entire year. Because of liquidity considerations, however, the company did not declare and pay a preferred dividend in 2021. Compute earnings per share for 2021, using the weighted-average number of shares determined in part (a). (Round answer to 2 decimal places, e.g. $2.55.) Earnings Per Share $ enter earnings per share rounded to 2 decimal places Part 3 Assume the same facts as in part (b), except that the preferred stock was cumulative. Compute earnings per share for 2021. (Round answer to 2 decimal places, e.g. $2.55.) Earnings Per Share $ enter earnings per share rounded to 2 decimal places Part 4 Assume the same facts as in part (b), except that net income included a loss from discontinued operations of $ 426,000 (net of tax). Compute earnings per share for 2021. (Round answer to 2 decimal places, e.g. $2.55.) Novak Corp. Income Statement choose the accounting period select an opening name for this statement
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 57E: Outstanding Stock Lars Corporation shows the following information in the stockholders equity...
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Question
On January 1, 2021, Novak Corp. had 479,000 shares of common stock outstanding. During 2021, it had the following transactions that affected the Common Stock account.
| February 1 | Issued 117,000 shares | |
| March 1 | Issued a 10% stock dividend | |
| May 1 | Acquired 103,000 shares of |
|
| June 1 | Issued a 3-for-1 stock split | |
| October 1 | Reissued 59,000 shares of treasury stock |
Part 1
Determine the weighted-average number of shares outstanding as of December 31, 2021.
| The weighted-average number of shares outstanding |
enter the weighted-average number of shares outstanding as of December 31, 2018
|
Part 2
Assume that Novak Corp. earned net income of $ 3,408,000 during 2021. In addition, it had 102,000 shares of 10%, $ 100 par nonconvertible, noncumulative preferred stock outstanding for the entire year. Because of liquidity considerations, however, the company did not declare and pay a preferred dividend in 2021. Compute earnings per share for 2021, using the weighted-average number of shares determined in part (a). (Round answer to 2 decimal places, e.g. $2.55.)
| Earnings Per Share |
$ enter earnings per share rounded to 2 decimal places
|
Part 3
Assume the same facts as in part (b), except that the preferred stock was cumulative. Compute earnings per share for 2021. (Round answer to 2 decimal places, e.g. $2.55.)
| Earnings Per Share |
$ enter earnings per share rounded to 2 decimal places
|
Part 4
Assume the same facts as in part (b), except that net income included a loss from discontinued operations of $ 426,000 (net of tax). Compute earnings per share for 2021. (Round answer to 2 decimal places, e.g. $2.55.)
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Novak Corp.
Income Statement choose the accounting period |
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select an opening name for this statement
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$ enter a dollar amount per share rounded to 2 decimal places
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select an income statement item
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enter a dollar amount per share rounded to 2 decimal places
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select a closing name for this statement
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enter a total earnings per share amount rounded to 2 decimal places
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