The previous year's balance sheet for Brown's Produce showed total common equity of $4,050,000 and 180,000 shares of stock outstanding. During the year, the firm had $450,000 of net income, and it paid out $100,000 as dividends. What was the book value per share at the end of the year, assuming no common stock was either issued or retired during 2016? Your answer should be between 16.42 and 37.15, rounded to 2 decimal places, with no special characters.
Q: The 2017 income statement of Marin Company showed net income of $555,200 and a gain from…
A: Income from continuing operations = Net income - gain from discontinued operations = $555,200-46400…
Q: Ecker Company reports $1,825,000 of net income for 2017 and declares $255,500 of cash dividends on…
A: Formula: Net income available to common stockholders=Net income for the year-Dividends on preferred…
Q: 2022 2021 Common stock, 10,500 and 10,000 shares, issued and outstanding, respectively, for 2022 and…
A: Retained earnings ending = Retained earnings beginning + Net Income - Dividends ( cash and stock )…
Q: We'll not play LLC had 1,000,000 average shares outstanding during all of 2017. During 2017, WNP…
A: For the purpose of computing diluted earnings per share, share to be used in the denominator in…
Q: the beginning of 2013, U Company had retained earnings of P250,000. During the year U reported net…
A: Amount of retained earnings available for dividend at end of 2013 = opening balance + Net…
Q: a. What amount of net income for 2013 will be reported in Gluco's 2014 annual report? b. Calculate…
A: Requirement a: Compute the EPS.
Q: Compute diluted earnings per share
A: Earnings per share is a financial measure that determines the residual earnings generated by each…
Q: On January 1, 2016, Wade Corporation had 24,000 shares of common stock outstanding. On April 1, it…
A: Common shares are issued by the company to fulfil its capital requirements. The common shareholders…
Q: The 2016 annual report for Mega Mills disclosed that 1 billion shares of common stock have been…
A: The Number of shares issused at the end of 2015: 795 millionAs there is no transaction of…
Q: Mountain Air Ski Resorts, Inc. Balance Sheets (partial) Stockholders' Equity Common stock ($1.00…
A: Stockholders' equity is known as the capital issued by the company to dilute the ownership. Under…
Q: Ale Corporation had net income of $240,000 and paid dividends to common stockholders of $40,000 in…
A: Earnings per share=Net incomeWeighted average shares=$240,00060,000=$4
Q: On December 30, 2015, Ella Thornes Inc has 2,000 8% preference stocks issued w/ USD200 par value and…
A: Annual Dividend to Preferred shareholders = No. of preferred share outstanding x Par value per share…
Q: At December 31, 2017 and 2018, Funk & Noble Corporation had outstanding 820 million shares of…
A: Preferred Dividend = No. of preferred share x Par value per share x rate of dividend…
Q: December 31, 2013, Melissa Company showed shareholders' canny of P5,000,000. The share capital of…
A: Retained earnings on 31st december, 2013 = P20,00,000 Less)Depreciation = (100000) Add) Gain on sale…
Q: Tommen, Inc. has the following stock issued as of December 2015: 5% Preferred…
A: Dividend means the amount given to shareholder of the company as profit distribution by company.…
Q: K Grocers’ 2016 balance sheet shows average shareholders’ equity of $9,264 million, net income of…
A: Return on equity ratio: It is a profitability ratio that measures the profit generating ability of…
Q: On December 31, 2014, Bradshaw Corporation had $485,000 as an ending balance for its retained…
A: opening balance of retained earnings as of jan1 2015 = $485000 dividend declared during the year =…
Q: An analyst compiled the following information for Universe, Inc., for the year ended December 31,…
A: Cash flow from operating activities: Net income $850,000 Adjustment to reconcile net…
Q: Marigold Corporation had net income of $1650000 and paid dividends to common stockholders of $400000…
A: Income statement: The income statement is one of the three primary financial statements used to…
Q: Hello, A company did not pay dividends in 2015 or 2016, even though 46,300 shares of its 8.4%, $90…
A: Compute the arrears of preferred dividend for the years 2015 and 2016.
Q: Cracker Company had 2 million shares of common stock outstanding all through 2012. On April 1, 2013,…
A: EARNING PER SHARE (EPS) : = (NET INCOME - PREFERRED DIVIDENDS) / AVERAGE NUMBER OF COMMON SHARES…
Q: Gonzalez Company reported net income of $2,600 million in 2016. The weighted average number of…
A: Basic earnings per share are the amount that represents the earnings allocable to each common share…
Q: In 2014, ABC has net income of P5,000,000, and it has 2,000,000 shares of common stock outstanding.…
A: Net income = P 5 million Number of shares = 2 million Stock price initially = P 30
Q: At December 31, 2015 and 2016, Funk & Noble Corporation had outstanding 820 million shares of…
A: Preferrence Dividend = No. of share x Par value per share x rate of dividend = 2 million x $100 x…
Q: The following information is provided for Slickers, INc. for year 2016: Preferred stock 7%, $50 par…
A: Non-cumulative preferred stocks that provides the shareholders a fixed dividend amount each year,…
Q: Carla Corporation reported net income of $644,000 in 2017 and had 234,000 shares of common stock…
A: Diluted Earnings per share = Net Income available to Common stockholders'Number of common stock…
Q: 1. Assume that Crandall’s stockholders’ equity on January 1, 2013 was $132,000. Crandall did not…
A: Stockholders' Equity (A) $ 132,000 Common Stock (B) $ 95,000 Retained Earnings…
Q: Layne Corporation had the following information in its financial statements for the years ended 2014…
A:
Q: Phelps, Inc. had assets of $114,994, liabilities of $24,118, and 16,486 shares of outstanding common…
A: The ratio analysis helps to analyse the financial statements of the business.
Q: At December 31, 2017 and 2018, Funk and Noble corporation had outstanding 760 million shares of…
A: Earnings per share (EPS): The amount of net income available to each shareholder per common share…
Q: The average stockholders’ equity for TWU Company for 2017 was $2,000,000. Included in this figure is…
A: Net income - net income means earnings of company but after tax . In other words net earning means…
Q: Macaroon Inc. has net income for 2016 of $272,000. At January 1, 2016, the company had outstanding…
A: Working note: Computation of weighted average number of common shares outstanding: Weighted average…
Q: At the end of this fiscal year, ABC Company's balance sheet showed $5,470,208 of long term debt,…
A: Market value of capital = Market value of long term debt + Market value of equity shares and…
Q: Metlock Corporation had 2017 net income of $1,001,000. During 2017, Metlock paid a dividend of $2…
A: Earnings per share refer to the amount earned by each stockholder. This can be identified by…
Q: USD565,000 and paid ordinary dividends of USD59,000. It also has 25,000 cumulative preference stocks…
A: Earnings per Share (EPS) refers to the amount of Earnings attributable to every shares of the…
Q: Corgi, Inc. has the following stock issued as of December 2015: 6% Preferred…
A: Cumulative preference shareholders means those shareholders which have preference in dividend and…
Q: In 2017 Pedroni Corporation reported net income of $1,000,000. It declared and paid preferred stock…
A: Earnings per share: It is to be calculated Deduct preferred dividend part from the net income and to…
Q: Layne Corporation had the following information in its financial statements for the years ended 2014…
A: Payout ratio means how much amount of dividends has been paid out of net income available for equity…
Q: On January 1, 2016, Kiper Corporation had 12,000 shares of common stock outstanding. Kiper…
A: Basic earnings per share is a ratio which helps to analyse that how much earnings a common…
Q: On January 1, 2010, Deweese Corporation had $1,000,000 of common stock outstanding that was issued…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Kroger's 2012 balance sheet shows average shareholders' equity of $4,632 million, net income of $602…
A: Given: Average shareholders equity =$4632 millionNet income =$602 millionCommon shares issued =$959…
Q: During 2016, Moore Corp. had the following two classes of stock issued and outstanding for the…
A: Answer: Option c.
The previous year's balance sheet for Brown's Produce showed total common equity of $4,050,000 and 180,000 shares of stock outstanding. During the year, the firm had $450,000 of net income, and it paid out $100,000 as dividends. What was the book value per share at the end of the year, assuming no common stock was either issued or retired during 2016? Your answer should be between 16.42 and 37.15, rounded to 2 decimal places, with no special characters.
Step by step
Solved in 3 steps with 2 images
- Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the dividends paid to common stockholders for last year were 2,600,000 and that the market price per share of common stock is 51.50. Required: 1. Compute the dividends per share. 2. Compute the dividend yield. (Note: Round to two decimal places.) 3. Compute the dividend payout ratio. (Note: Round to two decimal places.)Errol 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 the numerator of the EPS calculation for Errol?Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Required: 1. Calculate the average common stockholders equity. 2. Calculate the return on stockholders equity.
- 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.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.
- Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 0 par common stock at 0, 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 375. The bonds are classified as a held- to-maturitv 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 545, including commission. p. Recorded the payment of semiannual interest on the bonds issued 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 (1). 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 had a beginning balance of zero. Instructions Journalize the selected transactions. After all of the transactions for the year ended December 31, 2016, had been posted [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 income statement for the year ended December 31, 2016, 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, 2016. c. Prepare a balance sheet in report form as of December 31, 2016. Income statement data: Advertising expense 150,000 Cost of merchandise sold 3,700,000 Delivery expense 30,000 Depreciation expense -office buildings and equipment 30,000 Depreciation expensestore buildings and equipment 100,000 Dividend revenue 4,500 Gain on sale of investment 4,980 Income from Pinkberry Co. investment 76,800 Income tax expense 140,500 Interest expense 21,000 Interest revenue 2,720 Miscellaneous administrative expense 7.500 Miscellaneous selling expense 14,000 Office rent expense 50,000 Office salaries expense 170,000 Office supplies expense 10,000 Sales 5,254,000 Sales commissions 185,000 Sales salaries expense 385,000 Store supplies expense 21,000 Retained earnings and balance sheet data: Accounts payable 194,300 Accounts receivable 545,000 Accumulated depreciationoffice buildings and equipment 1,580,000 Accumulated depreciationstore buildings and equipment 4,126,000 Allowance for doubtful accounts 8,450 Available for sale investments (at cost) 260,130 Bonds payable. 5%. due 2024 500,000 Cash 246,000 Common stock, 20 par (400,000 shares authorized; 100,000 shares issued. 94,600 outstanding) 2,000,000 Dividends: Cash dividends for common stock 155,120 Cash dividends for preferred stock 100,000 Goodwill 500,000 Income tax payable 44,000 Interest receivable 1,125 Investment in Pinkberry Co. stock (equity method) 1,009,300 Investment in Dream Inc. bonds (long term) 90,000 Merchandise inventory [December 31, 2016). at lower of cost (FIFO) or market 778,000 Office buildings and equipment 4.320,000 Paid-in capital from sale of treasury stock 13,000 Excess of issue price over parcommon stock 886,800 Excess of issue price over parpreferred stock 150,000 Preferred 5% stock. 80 par (30,000 shares authorized; 20,000 shares issued] 1,600,000 Premium on bonds payable 19,000 Prepaid expenses 27,400 Retained earnings, January 1, 2016 9,319,725 Store buildings and equipment 12,560,000 Treasury stock (5,400 shares of common stock at cost of 33 per share) 178,200 Unrealized gain (loss) on available for sale investments (6,500) Valuation allowance for available for sale investments (6,500)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 375. The bonds are classified as a heldtomaturity 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 issued 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 (l). 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 had a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transactions for the year ended December 31, 2016, had been posted [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 income statement for the year ended December 31, 2016, 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, 2016. c. Prepare a balance sheet in report form as of December 31, 2016.Rebert Inc. showed the following balances for last year: Reberts net income for last year was 3,182,000. Refer to the information for Rebert Inc. above. Also, assume that the market price per share for Rebert is 51.50. Required: 1. Compute the dollar amount of preferred dividends. 2. Compute the number of common shares. 3. Compute earnings per share. (Note: Round to two decimals.) 4. Compute the price-earnings ratio. (Note: Round to the nearest whole number.)
- Bastion 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 the EPS for the year for Bastion?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.The following selected transactions and events occurred during 2013: a. Issued 200 shares of preferred stock for 20,000. b. Sold 800 shares of treasury stock for 2,800. c. Declared and issued a 4% common stock dividend. The market value on the date of declaration was 5 per share. d. Generated a net loss for the year of 16,000. e. Declared and paid the full years dividend on all the preferred stock and a dividend of 15 per share on common stock outstanding at the end of the year. Enter beginning balances for 2013 on STOCKEQ2. Then erase all 2012 entries and enter the transactions for 2013. Save the results as STOCKEQ4. Print the results.