Ute Company reported the following capital structure during the current year: 5% cumulative preference share capital, par value P100, 25,000 shares issued and outstanding Ordinary Share capital, par value P35, 100,000 shares issued and outstanding The entity reported net income of P5,000,000 for the current year. The entity paid P125,000 in preference dividends in the current year. 7. What amount should be reported as the basic earnings per share? a. 48.75 b. 50.00 c. 51.25 2,500,000 3,500,000
Q: Explain two income tax credits available to your client to reduce their income tax liability.
A: 1. Earned Income Tax Credit (EITC): This tax credit was designed to provide a financial boost to…
Q: Use the following information for the Quick Study below. (Algo) [The following information applies…
A: The residual income is the amount of money that has been left into the business after all the…
Q: On January 1, 2022, the ledger of Vaughn Company contains these liability accounts. Accounts Payable…
A: Balance Sheet :— It is one of the financial statement that shows list of final balances of assets,…
Q: Pareto Manufacturing Company acquired 90 percent of Sines Corporation’s outstanding common stock on…
A: The question has asked to prepare consolidation elimination entries to do the consolidated financial…
Q: BGP Electrical Supply is developing its annual financial statements at December 31, current year.…
A: The cash flow statement is the one of the financial statements of the business. The activities of…
Q: e board of directors of a human resources outsourcing company has declared a dividend of…
A: Preferred shares are preferred in dividend payments and also on the liquidation also they are…
Q: "On a certain long term debt, principal and interest is due for payment. This will be recorded under…
A: Revenue expenditure are those expenditures, benefits of which will be used or consumed by the entity…
Q: In June 2022, a non-stock, non-profit university provided a 3-day vacation trip to Panglao Island to…
A: Fringe benefits tax is the tax imposed by the tax department of the government for the cash or in…
Q: On January 1 of this year, Olive Corporation issued bonds. Interest is payable once a year on…
A: Bond is an investment security which is purchased by investors in order to earn regular fixed…
Q: Mama Mathay, widow, a citizen of the Philippines residing in Canada, died in December 2022 leaving…
A: gross estate of Mama Mathay Real property which had inherited from her husband which has been…
Q: List the system defaults account in Quick Books and explain the purpose of any FOUR default accounts…
A: 1. Accounts Payable: The Accounts Payable account is used to track money owed by the business to its…
Q: Year Jan. 1. 2020 Dec. 31, $ Interest Payable $ Interest Expense $ Discount Amortized $ Carrying…
A: Lets understand the basics. When bond is issued issued for less than the face value of bond then it…
Q: Required: 1. Determine what the cost of labor, materials, and overhead for both Procedures 1 and 2…
A: Cost makeup of Procedure 1: Direct labor 480000 Direct materials 432000 Overhead 48000…
Q: ratio by paying payable to Steve Young. At July 1, 2025, the balance sheet of Young Company was as…
A: Solution: Journal entry: Account titles & explanation Debit $…
Q: Espresso Ltd. is an investment management firm that had, at the beginning of the current year on…
A: Introduction:- Calculation of Income from associate as follows under:- Income from associate
Q: Financial Accounting Question: Select any scene from a movie of your choice that relates to an…
A: Corporation - A company is a distinct and independent entity from its owners. Many of the legal…
Q: What is the difference between pegged and floating rate exchanges?
A: A nominal exchange rate that is firmly established by the monetary authority with regard to a…
Q: The following monthly data are taken from Ramirez Company at July 31: Sales salaries, $660,000;…
A: Federal income tax withheld: It is the amount withheld from the employees’ earnings by way of…
Q: Rios Company makes drones and uses the variable cost method in setting product price. Its costs for…
A: Cost volume profit analysis is the technique used by management for decision-making. The methods…
Q: and B are $210,000 and $410,000, respectively. Maintenance Accounting A B Machine hours 895 80…
A: The Hsu Manufacturing Company has two service departments: Maintenance and Accounting. These service…
Q: Metlock Company applies overhead based on direct labour hours. Two direct labour hours are required…
A: FIXED OVERHEAD VARIANCE Fixed overhead cost variance is the difference between the standard cost of…
Q: Kohler Corporation reports the following components of stockholders' equity at December 31 of the…
A: The shareholders' equity tells about the capital and cash that belongs to the shareholders or owners…
Q: The balance on Ramon Felipe's credit card on January 19, his billing date, was $313.13. For the…
A: Computation of total balance Period Transaction Transaction value No. of days Balance Total…
Q: Skysong Pottery lost 70% of its inventory in a fire on March 25, 2020. The accounting records showed…
A: The gross profit rate is calculated as amount of gross profit divided by net sales revenue during…
Q: ow did you calculate $43,100?
A: The second part of depreciation on buildings is calculated for the transactions during 2021.
Q: Who among the following is most likely to be classified as a mixed income earner? Who among the…
A: The mixed income earner term describes a worker who earns money both through traditional employment…
Q: ect the attractiveness of an auditing firm. Of course, the service quality provided and the fees…
A: Corporation - A company is a separate legal entity from its shareholders. Many of the same legal…
Q: What organization could Blades contact in order to insure its sales to the Thai retailers? What type…
A: Blades can contact an insurance broker to arrange insurance for their sales to the Thai retailers.…
Q: major manufacturer for the production of Item I. The carrying amount of the inventory of parts at…
A: the inventory is considered to be an important item for the manufacturer so it is important for them…
Q: Nilo Burgos Haulers is in the cargo business. The entity is servicing the cargo forwarding…
A: The Depreciation to be computed as: Depreciation = (236,000−36,000)/10 x 6/12(236,000-36,000)/10 x…
Q: Blossom Developments is authorized to issue 500,000 shares. To date, the company has 178,600 shares…
A: Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: What is Ijma, explain with examples?
A: Ijma is a concept in Islamic jurisprudence (fiqh) that refers to the consensus of qualified Islamic…
Q: Maryland Novelties Company produces and sells souvenir products. Monthly income statements for two…
A: Variable Cost :— It is the cost that changes with change in units. Variable cost per unit is…
Q: List the types of intercompany revenue and expenses that are eliminated in the preparation of a…
A: Intercompany eliminations display monetary consequences without transactions among subsidiaries.…
Q: please show how to calculate net investment in capital assets from the statement of net position.…
A: Both the government wide and proprietary fund balance sheets report net position which can be…
Q: ser, who share profits and losses in a ratio of 3.2.2, respectively are partners in a home…
A: Partnership is the relation between two or more person, it has the following characteristics They…
Q: BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its…
A: The question has asked to compute the employment taxes for three separate situations. Employment…
Q: A and B (AB partnership) decide to form a partnership. A already has a business in operation and he…
A: The partnership comes into existence when two or more persons agree to do the business and further…
Q: Troy Merchandising had cash and cash equivalents at January 1, 2020 of P400,000. The transactions…
A: Cash Flow statement under the direct method Actual cash inflows and outflows from the company's…
Q: $145,000 560,000 830,000 75,000 86,000 13,000 49,000 unts receivable? $97,000 67,000 105,000 10,000…
A: In the indirect method of cash flows, in cash from operating activities , adjustments are made to…
Q: Milt Payner purchased an automobile several years ago for $40,000 and has held it as a personal…
A: Every company or person has some assets for business use and for personal use. As per the country's…
Q: The phase out amount changed from 400... to 150000 in 2021 for married filing jointly
A: Child Tax Credit- 2021 $3,600 for children who are 5 years old and under at the end of 2021; $3,000…
Q: Jenny and Leo plan to purchase a new house and the couple is able to obtain a 25-year 3.6% (per…
A: The concept of time value of money will be applied here. The cost of the house will be the sum of…
Q: Health-Temp Company is a placement agency for temporary nurses. It serves hospitals and clinics…
A: Break-even point: It is the point at which the company covers its variable cost only. At this…
Q: Rachel's Recreation value and a seven-year life. Rachel's effective income tax rate is 40 percent,…
A: Straight line method of depreciation there is uniform annual depreciation over the economic life of…
Q: Which of the following is not an advantage of establishing a special purpose entity (SPE)? O a.…
A: Answer:- Special purpose entity meaning:- A legal entity established for unique, limited or…
Q: In 2010, the issued a ruling that makes it more difficult for profit-seeking firms to offer unpaid…
A: Introduction The compensation received by a person or firm that is employed to compute tax…
Q: EXERC 13 Calculating Deferred Income Taxes. The Harmon Corporation prepared the following income…
A: Deferred tax liability (DTL) shows temporary differences between tax on accounting income and tax on…
Q: The Agency Problem arises because of the separation of ownership from control of publicly listed…
A: An agency problem in any relationship is when one party expects the other party to act in its best…
Q: 1. After determining the total product cost of P100.00 per unit, Mr. Abecee the owner, decided to…
A: The question is based on the concept of Cost Accounting. Retail price is calculated by adding the…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- 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.Given the following year-end information for Somerset Corporation, compute its basic earnings per share. Net income, 13,000 Preferred dividends declared, 4,000 Weighted average common shares for the year, 4,500Selected 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.
- 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.)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?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?Income Statement Ratio The income statement of Holly Enterprises shows operating revenues of $134,800, selling expenses of $38,310, general and administrative expenses of $36,990, interest expense of $580, and income tax expense of $13,920. Hollys stockholders equity was $280,000 at the beginning of the year and $320,000 at the end of the year. The company has 20,000 shares of stock outstanding at the end of the year. Required Compute Hollys profit margin. What other information would you need in order to comment on whether this ratio is favorable?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.