Cornerstones of Financial Accounting
4th Edition
ISBN: 9781337690881
Author: Jay Rich, Jeff Jones
Publisher: Cengage Learning
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- A corporation issued 100 shares of $100 par value preferred stock for $150 per share. The resulting journal entry would include which of the following? A. a credit to common stock B. a credit to cash C. a debit to paid-in capital in excess of preferred stock D. a debit to casharrow_forwardRebert 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.)arrow_forwardA company has 2,500 shares of $100 par preferred stock. It also has 20,000 shares of common stock outstanding, and its total stockholders' equity equals $600,000. The book value per common share is: a. $17.50. b. $30.00. c. $15.56. d. $26.67. e. $100.00.arrow_forward
- A company has 31,000 shares of common stock outstanding. The stockholders' equity applicable to common shares is $393,700, and the par value per common share is $10. The book value per share is: Multiple Choice $10.00. $12.70. $2.70.arrow_forwardA company has the following capital stock outstanding: preferred shares of $15,000, common shares of $30,000, retained earnings of $100,000. Preferred dividends in arrears amount to $5,000. There are 10,000 common shares and 1,000 preferred shares issued. What is the book value one share of preferred stock? a. $12.50 b. $20 c. $105 d. $125arrow_forwardThe balance sheet caption for common stock is: Common stock, $10 par value, 7,000,000 shares authorized, 5,700,000 shares issued, and 5,500,000 shares outstanding. a. Calculate the dollar amount that will be presented opposite of this caption. b. Calculate the total amount of a cash dividend of $1.00 per share.c. What accounts for the difference between issued shares and outstanding shares?arrow_forward
- A company’s shares have a market value of $85 per share. Its net income is $3,500,000, and its weighted-average common shares outstanding is 700,000. Its price-earnings ratio is a. 5.9. c. 17.0. e. 41.2. b. 425.0. d. 10.4.arrow_forwardYou are given the following information: Stockholders' equity - $359 million; price/earnings = ratio 45; shares outstanding = 8,600,000; and market/book ratio = 5.45. Calculate the market price of a share of the company's stock. a. $41.74. b. $227.51. c. $185.76. d. $243.97. e. $38.48.arrow_forwardMayan Company had net income of $132,000. The weighted-average common shares outstanding were 80,000. The company has preferred stock. The company's basic earnings per share is: Multiple Choice $44.00. $26.67 $1.59. $1.71. $1.65.arrow_forward
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