"The shareholders equity section of N Company at the end of the 2021 and 2020 are as follows: (2021) 10% Preference share, P100 par P1,500,000; Ordinary share, P20 par P1,000,000; Share premium-preference P210,000; Share premium-ordinary P400,000 (2020) 10% Preference share, P100 par P800,000; Ordinary share, P20 par P600,000; Share premium-ordinary P200,000. What is the average issue price of the preference shares issued in 2021?" P100 per share P130 per share P214 per share P244 per share

"The shareholders equity section of N Company at the end of the 2021 and 2020 are as follows: (2021) 10% Preference share, P100 par P1,500,000; Ordinary share, P20 par P1,000,000; Share premium-preference P210,000; Share premium-ordinary P400,000 (2020) 10% Preference share, P100 par P800,000; Ordinary share, P20 par P600,000; Share premium-ordinary P200,000. What is the average issue price of the preference shares issued in 2021?" P100 per share P130 per share P214 per share P244 per share

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter16: Retained Earnings And Earnings Per Share

Section: Chapter Questions

Problem 1MC: Cash dividends on the 10 par value common stock of Garrett Company were as follows: The 4th-quarter...

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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. 6.73
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?
Cumulative Preferred Dividends Capital stock of Barr Company includes: As of December 31, 2018, 2 years dividends are in arrears on the preferred stock. During 2019, Barr plans to pay dividends that total S360.000. Required: Determine the amount of dividends that will be paid to Barrs common and preferred stockholders in 2019. If Barr paid $280,000 of dividends, determine how much each group of stockholders would receive.
Cash dividends on the 10 par value common stock of Garrett Company were as follows: The 4th-quarter cash dividend was declared on December 21, 2019, to shareholders of record on December 31, 2019. Payment of the 4th-quarter cash dividend was made on January 18, 2020. In addition, Garrett declared a 5% stock dividend on its 10 par value common stock on December 3, 2019, when there were 300,000 shares issued and outstanding and the market value of the common stock was 20 per share. The shares were issued on December 24, 2019. What was the effect on Garretts shareholders equity accounts as a result of the preceding transactions?
Convertible Preferred Stock On January 2, 2019, Bray Corporation issues 900 shares of 100 par convertible preferred stock for 117 per share. On January 7, 2020, all the preferred shareholders convert their shares to common stock. Required: 1. Prepare the January 2, 2019, journal entry to record the issuance of the preferred stock. 2. Prepare the January 7, 2020, journal entry to record the conversion, assuming the preferred stock contract states that: a. each share of preferred stock is convertible into 7 shares of 10 par common stock b. each share of preferred stock is convertible into 12 shares of 10 par common stock
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.
The shareholders equity section of N Company at the end of the 2022 and 2021 are as follows: (2022) 10% Preference share, P100 par P1,500,000; Ordinary share, P20 par P1,000,000; Share premium-preference P210,000; Share premium-ordinary P400,000 (2021) 10% Preference share, P100 par P800,000; Ordinary share, P20 par P600,000; Share premium-ordinary P200,000. What is the average issued price of the ordinary shares issued in 2022?
LABAN Company provided the following shareholders’ equity on December 31, 2020:Preference share capital, 12% P100 par1,000,000Ordinary share capital, P1004,000,000Share premium2,000,000Retained Earnings1,000,000Dividends have been paid on the preference share up to December 31, 2017.Required:Compute the book value per ordinary share and per preference share under each of thefollowing conditions with respect to preference share:a) Cumulative and fully participatingb) Cumulative and fully participating after ordinary share receives 15%c) Cumulative and participating up to 16%d) Cumulative and non-participatinge) Noncumulative and non-participating
LABAN Company provided the following shareholders’ equity on December 31, 2020:Preference share capital, 12% P100 par1,000,000Ordinary share capital, P1004,000,000Share premium2,000,000Retained Earnings1,000,000Dividends have been paid on the preference share up to December 31, 2017.Required:Compute the book value per ordinary share and per preference share under each of thefollowing conditions with respect to preference share:d) Cumulative and non-participatinge) Noncumulative and non-participating
Please give solutions and explanation to the three questions. The correct answer is already given, just provide me with solution. "The shareholders equity section of N Company at the end of the 2021 and 2020 are as follows: (2021) 10% Preference share, P100 par P1,500,000; Ordinary share, P20 par P1,000,000; Share premium-preference P210,000; Share premium-ordinary P400,000 (2020) 10% Preference share, P100 par P800,000; Ordinary share, P20 par P600,000; Share premium-ordinary P200,000. What is the average issued price of the ordinary shares issued in 2021?" Answer: P30 per share The resale of treasury shares at more than cost increases the retained earnings. True or False? Why? Which of the following transactions will decrease retained earnings? Declaration of a bonus issue Payment of cash dividend Profit for the period Issuance of share dividend why?
Please give solutions and explanation to the three questions. The correct answer is already given, just provide me with solution. "The shareholders equity section of N Company at the end of the 2021 and 2020 are as follows: (2021) 10% Preference share, P100 par P1,500,000; Ordinary share, P20 par P1,000,000; Share premium-preference P210,000; Share premium-ordinary P400,000 (2020) 10% Preference share, P100 par P800,000; Ordinary share, P20 par P600,000; Share premium-ordinary P200,000. How many preference shares were issued during 2021?" Answer: 7,000 shares "The following are found in the trial balance of M Corporation at December 31, 2021: Authorized ordinary share, P50 par value P3,000,000; Subscription receivable P200,000; Unissued ordinary share P1,000,000; Subscribed ordinary share P500,000; Share premium ordinary P100,000. What is the total contributed capital?" Answer: P2,600,000 "The shareholders equity section of N Company at the end of the 2021 and 2020 are as follows:…
The company’s market capitalization as at December 31, 2019 was $750m and the outstanding shares at the same date was 40m and the authorized shares were 50m. The company also has 12m preference at par value of $1.10 each with 9.5 percent interest rate per annum. The par value for its equity shares was $2.70 each and net income before preference dividend as at December 31, 2019 was $45m and dividend payment for the current period was $6m. The value of the company’s non-current assets were $470m and the total liabilities were $65m. Required: What is the quarterly dividend payments preference shareholders received from the company?