Beacon Corporation issued a 8 percent stock dividend on 35,000 shares of its $7 par common stock. At the time of the dividend, themarket value of the stock was $30 per share.Requireda. Compute the amount of the stock dividend.b. Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column,indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affectedby the event, leave the cell blank.Complete this question by entering your answers in the tabs below.Required A Required BShow the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operatingactivity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank. (Enter any decreases to account balances with aminus sign.)Assets = LiabilitiesCash++Balance SheetCommonStockBEACON CORPORATIONHorizontal Statements ModelStockholders' EquityPIC inExcess+RetainedEarningsRevenueIncome Statement< Required AExpense = Net IncomeRequired B >Statement of CashFlowShow less Beacon Corporation issued a 8 percent stock dividend on 35,000 shares of its $7 par common stock. At the time of the dividend, themarket value of the stock was $30 per share.Requireda. Compute the amount of the stock dividend.b. Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column,indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affectedby the event, leave the cell blank.Complete this question by entering your answers in the tabs below.Required A Required BCompute the amount of the stock dividend.Stock dividend< Required ARequired B >

A stock dividend is the unrestricted distribution of a company's common stock to its shareholders. A…

Answered: Beacon Corporation issued a 8 percent…

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter17: Financial Statement Analysis

Section: Chapter Questions

Problem 4AP

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The income statement, statement of retained earnings, and balance sheet for Somerville Company are as follows: Includes both state and federal taxes. Brief Exercise 15-20 Calculating the Average Common Stockholders Equity and the Return on Stockholders Equity Refer to the information for Somerville Company on the previous pages. Required: Note: Round answers to four decimal places. 1. Calculate the average common stockholders equity. 2. Calculate the return on stockholders equity.
Stockholder Payout Ratios The following information pertains to Milo Mindbender Corporation: Required: Calculate the dividend yield, dividend payout, and total payout. (Note: Round answers to two decimal places.)
The income statement, statement of retained earnings, and balance sheet for Santiago Systems are as follows: Includes both state and federal taxes. Refer to the information for Santiago Systems above. Required: Note: Round answers to four decimal places. 1. Calculate the average common stockholders equity. 2. Calculate the return on stockholders equity.
Stockholder Profitability Ratios The following information pertains to Montague Corporation Required: Calculate the return on common equity and the earnings per share. (Note: Round answers to two decimal places.)
Beacon Corporation issued a 3 percent stock dividend on 37,000 shares of its $7 par common stock. At the time of the dividend, the market value of the stock was $26 per share. Required a. Compute the amount of the stock dividend. b. Show the effects of the stock dividend on the financial statements using a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank. Complete this question by entering your answers in the tabs below. Required A Required B Compute the amount of the stock dividend. Stock dividend Required >
Complete this section of the income statement in the table below. attached is the income statement and balance sheet for your reference. Per Share Data 2021 Common Stock Price $ 28.0 Earnings Per Share (EPS) Dividend Per Share (DPS) Book Value Per Share (BVPS) Cash Flow Per Share
Indicate the effect of the following event on the company's accounting equation. For each account title affected indicate the specific account name, dollar change, and whether it increased or decreased. Show the correct effect in the Stockholders' Equity column so the Balance Sheet balances. Declared a $8/shr. Cash Dividend on the 1,000 shrs. of Pref. Sk. and $10/shr. On 10,000 shrs. of common stock. Decrease the liability dividends payable and Increase the stockholders' equity retained earnings $108,000 Decrease the asset cash and the stockholders' equity retained earnings $108,000 Increase the liability dividends payable and decrease the stockholders' equity retained earnings $100,000 Increase the liability dividends payable and decrease the stockholders' equity retained earnings $108,000
On May 1, 2018, Love Corporation declared a $45,100 cash dividend to be paid on May 31 to shareholders of record on May 15. Required: Record the events occurring on May 1 and May 31 in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank. (Enter any decreases to account balances with a minus sign.)
On May 1, Year 3, Love Corporation declared a $57,700 cash dividend to be paid on May 31 to shareholders of record on May 15. Required Record the events occurring on May 1 and May 31 in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank. (Enter any decreases to account balances with a minus sign.) LOVE CORPORATION Horizontal Statements Model Balance Sheet Income Statement Statement of Cash Common Stock Retained Flow Date Assets Liabilities + Revenue Expense Net Income Earnings May 1 + May 31
On May 1, Year 3, Love Corporation declared a $94,200 cash dividend to be paid on May 31 to shareholders of record on May 15. Required Record the events occurring on May 1 and May 31 in a horizontal statements model. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). If an element was not affected by the event, leave the cell blank. (Enter any decreases to account balances with a minus sign.) Date May 1 May 31 Balance Sheet Assets = Liabilities Common Stock LOVE CORPORATION Horizontal Statements Model Retained: Earnings Revenue: Income Statement Expense Net Income Statement of Cash Flow
The following data are taken from the financial statements, determine for the current year the (a) return on total assets, (b) return on stockholders' equity, (c) return on common stockholders' equity, (d) earnings per share on common stock, (e) price-earnings ratio on common stock, and (f) dividend yield. The current market price per share of common stock is $25. Current assets Property, plant, and equipment Current Year Preceding Year $745,000 $820,000 1,510,000 1,400,000 Current liabilities (non-interest-bearing) 160,000 140,000 Long-term liabilities, 12% 400,000 400,000 Preferred 10% stock 250,000 250,000 Common stock, $25 par 1,200,000 1,200,000 Retained earnings, beginning of year Net income for year Preferred dividends declared Common dividends declared 230,000 160,000 110,000 155,000 (25,000) (25,000) (70,000) (60,000) Round dollar values to two decimal places and other final answers to one decimal place. a. Return on total assets b. Return on stockholders' equity c. Return on…
Required 1. Explain the transaction(s) underlying each journal entry (a) through (d). 2. How many shares of common stock are outstanding at year-end? 3. What is the total paid-in capital at year-end? 4. What is the book value per share of the common stock at year-end if total paid-in capital plus retained earnings equals $695,000?

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