When computing the basic earnings per share in a structure where there are cumulative preference shares, the net income to ordinary shares is equal to the actual net income of the company      a. Add current dividend for preference shares whether declared or not   b. Less current dividend for preference shares whether declared or not   c. Less current dividend for preference shares only when declared   d. Less current and previous dividend for preference shares declared or not   e. Add current dividend for preference shares only when declared

Q: end paid dividend by average number of shares outstanding is equivalent to retained earnings. True…

A: Companies pay the dividend out of net income to the shareholders but some income is also retained…

Q: 7. In computing basic earnings per share, the amount of preference dividends on noncumulative…

A: Hi student, Since there are multiple questions, we will answer only the first question. If you want…

Q: Compute the value of a share of Fellows Company stock using the price-earnings multiples method

A: Value of share by Price earnings ratio = P/E ratio * Earnings per share

Q: h. Preference share capital is cumulative and nonparticipating i. Preference share capital is…

A: h. Preference share capital is cumulative and nonparticipating: Details Amount(₱) Total…

Q: If a company has issued only one class of stock, the earnings per share are determined by dividing…

A: PLEASE GIVE A LIKE, your response matters  correct  answer : OPTION B : FALSE

Q: Which of the following decreases total equity? A. A stock split B. Recording Revenue C. The…

A: A. A stock split: No change in total equity   B. Recording Revenue: Increase in total equity   C.…

Q: When a stock dividend is declared and issued: Multiple Choice total stockholders' equity does not…

A: Introduction: Dividends: Dividends are given to shareholders of the company. Dividends are of two…

Q: the total shareholders' equity after the declaration of hare capital dividend   a. is greater than…

A: Cash dividends decreases cash and retained earnings. Retained earnings is part of stockholders'…

Q: When a stock dividend is declared, which of the following accounts is credited? O a. Common Sock O…

A: Stock dividend is the dividend payment made in the form of the number of stocks.

Q: Instructions Show the allocation of dividends to each class of shares, assuming the preference share…

A: Dividend -: The Dividend is a diffusion of earnings by a company to its shareholders. When a firm…

Q: Earnings per share is computed on a. ordinary shares only b. preference shares only c. both…

A: Earnings Per Shares refers to Total Dividable profit divided by its number of common shares…

Q: Identify whether stockholders’ equity would increase (I), decrease (D), or have no effect (NE) as a…

A: Treasury Stock Treasury stock are basically those stocks which are bought back from the investors…

Q: Which of the following balance sheet accounts will be affected by a stock dividend but not by a…

A: A stock dividend is a dividend paid to the shareholders that are paid through shares rather than…

Q: How much is the EARNINGS PER SHARE, considering that the preference shares are cumulative and…

A: Earnings Per Share (EPS) Earning per share is an important tools of measuring the strength in the…

Q: a. Determine the per-share figure for common stock for income before discontinued operations. Round…

A: a)  Income before discontinued operations = Net income - Gain on discontinued operations =…

Q: In computing basic earnings per share (EPS), the amount of preference dividends on noncumulative…

A: Income per share (EPS) could be a key activity wont to decide the regular investor's a part of the…

Q: Book value per common share is computed by: O Multiplying the number of common shares outstanding…

A: Common stock indicates the ownership of the company held by investors called shareholders.

Q: the earning per share is computed for: 1-common stock 2- non - redeemable preferred  3-…

A: Earning per share means amount of earning with which the company is left per share , after paying…

Q: Dividends declared on redeemable preference shares are recognized * O By a debit to retained…

A: Dividend means the amount given to shareholder of the company as profit distribution by…

Q: When a stock dividend is declared and issued: Multiple Choice total stockholders' equity does not…

A: PLEASE GIVE A LIKE, your response matters   so , the answer is option 'a' When a stock dividend is…

Q: How will you compute outstanding shares? Does it include share premium and retained earnings?

A: Outstanding shares means common shares of the business as on a particular date. For example, a…

Q: What is the effect of purchasing treasury stock on a company’s earnings per share and return on…

A: Treasury stock refers to those shares which are repurchased from the existing shares , so this…

Q: In computing basic EPS, the amount of preference dividends on noncumulative preference shares should…

A: Basic EPS (Earnings per Share) is calculated by dividing the net income earned by the Company by the…

Q: Provide a 2 problems with own solution in EARNINGS PER SHARE performance ratio. Provide an textual…

A: Answer:-  Earning per share meaning:- Earnings per share or EPS is a metric that basically measures…

Q: For an entity that has only ordinary shares outstanding, total shareholders’ equity divided by the…

A: Shareholders Equity is the total amount attributable to equity shareholders of the company.

Q: In computing Earnings per share when there are preference shares, the total net income after tax is…

A: Solution: True. This is because earnings per share is computed by dividing (net income - preference…

Q: Preferred dividends from cumulative, nonconvertible preferred stock must be added back to the…

A: Diluted earning per share is a wider approach to calculate EPS as it computes the earnings per…

Q: Which of the following is true about share split? * It increases the total number of outstanding…

A: Share split break a share into number if pieces reducing the par value of the share.

Q: For the purpose of calculating earnings per share (EPS), the denominator is: Select one: a.…

A: The earning per share is a financial ratio which tells about the profitability of the business.

Q: Compare and Contrast the relationship of the number of shares to the dividend the stockholder may…

A: The profits of the company distributed among the equity and preference stockholders of the company…

Q: Share capitalization referes to the issue of shares to new shareholders in lieu of dividend. OA.…

A: Capitalization in accounting means including the costs to the values of assets or liabilities…

Q: The Declaration on a stock dividend changes to total amount stockholder’s equity of the firm.…

A: Please find the answer to the above question below:

Q: The amount of income earned per share of outstanding common stock is known as: Multiple Choice…

A: Shares: Shares are the units of the total stock of a company that show the fractional ownership of…

Q: When a corporation has outstanding both common and pre-ferred stock: a. Basic and diluted earnings…

A: Preferred Stock is that stock on which shareholders have preference in dividends payments and…

Q: second priority in the valuation of shares

A: Par value shares is important in determining the value of shares issued for services received and…

Q: When preference shares are participating as to dividends, the dividend allocated to preference…

A: Participating preference shares are those shares for which apart from fixed dividends paid to…

Q: The total shareholders' equity after he declaration of hare capital dividend.      a. may be more…

A: Dividend means the amount given to shareholder of the company as profit distribution by company.…

Q: Indicate whether each of the following transactions increases (+), decreases (−), or has no effect…

A: Stock: It can be defined as a security that represents the ownership interest of the stockholder…

Q: Treasury shares are most often reported as: A) A reduction of total shareholders' equity. B) A…

A: Treasury stock are the stocks which are bought back by the company , thus this reacquired stocks…

Q: Earnings per share (EPS) should be computed on the basis of A. Voting ordinary shares B. Voting…

A: Earnings per share (EPS) is the that value of share which will get when the net income which is…

Q: When a corporation has outstanding both common and preferred stock Select one: a. Earnings per…

A: Net income: It is the income earned after deducting all the expenses incurred whether they are…