Bundle: Accounting, Chapters 1-13, 26th + Working Papers, Chapters 1-17 For Warren/reeve/duchac's Accounting, 26th And Financial Accounting, 14th + ... For Warren/reeve/duchac's Accounting, 26th
26th Edition
ISBN: 9781337498159
Author: Carl Warren, Jim Reeve, Jonathan Duchac
Publisher: Cengage Learning
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Chapter 13, Problem 13.8BPE
(a)
To determine
Earnings per share:
Earnings per share represent the amount of income earned per share of outstanding common stock in a period. This ratio is used for analyzing the profitability of company’s stockholders’.
The following formula can be used to calculate earnings per share:
The earnings per share of Incorporation BB for the year ended December 31, 2016 and 2015.
(b)
To determine
To identify: Whether the change in the earnings per share of Incorporation BB from 2016 to 2015 indicates a favorable or unfavorable trend.
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Financial Statement data for the years ended December 31st for the Top Corporation follow:2018 2017Net Income $775,000 $966,000Preferred Dividends $35,000 $35,000Average number of 80,000 shares 95,000 sharescommon shares outstandinga. Determine the earnings per share for 2018 and 2017. b. Does the change in the earnings per share from 2017 to 2018 include a favorable or unfavorable trend?
Selected financial information for CraneCorporation as of December are presented below.
2014
2013
Current assets
$104,640
$80,080
Current liabilities
43,680
36,400
Stockholders’ equity
124,800
110,240
Total assets
312,000
280,800
Net sales and net income for 2014 were $468,000 and $37,440 respectively. Dividends of $4,160 were declared for common stockholders and $6,240for preferred shareholders in 2014. Preferred stockholders' equity is equal to 10% of total stockholders' equity.Compute the indicated ratios at December 31, 2014, or for the year ended December 31, 2014, as appropriate. (Round answers to 2 decimal places, e.g. 2.12.)
1.
Return on assets
enter percentages rounded to 2 demical places
%
2.
Profit margin
enter percentages rounded to 2 demical places
%
3.
Payout ratio
enter percentages rounded to 2 demical places
%
4.
Debt assets ratio
enter percentages…
Selected financial information for CraneCorporation as of December are presented below.
2014
2013
Current assets
$82,640
$63,140
Current liabilities
34,440
28,700
Stockholders’ equity
98,400
86,920
Total assets
246,000
221,400
Net sales and net income for 2014 were $369,000 and $29,520 respectively. Dividends of $3,280 were declared for common stockholders and $4,920for preferred shareholders in 2014. Preferred stockholders' equity is equal to 10% of total stockholders' equity.Compute the indicated ratios at December 31, 2014, or for the year ended December 31, 2014, as appropriate. (Round answers to 2 decimal places, e.g. 2.12.)
1.
Return on assets
enter percentages rounded to 2 demical places
%
2.
Profit margin
enter percentages rounded to 2 demical places
%
3.
Payout ratio
enter percentages rounded to 2 demical places
%
4.
Debt assets ratio
enter percentages…
Chapter 13 Solutions
Bundle: Accounting, Chapters 1-13, 26th + Working Papers, Chapters 1-17 For Warren/reeve/duchac's Accounting, 26th And Financial Accounting, 14th + ... For Warren/reeve/duchac's Accounting, 26th
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