Comparative Statements of Shareholders' Equity for Locke Intertechnology Corporation were reported as follows for the fiscal years ending December 31, 2022, 2023, and 2024. Balance at January 1, 2022 Sale of preferred shares Sale of common shares, 7/1 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2022 Retirement of common shares, 4/1 Cash dividend, preferred Cash dividend, common 3-for-2 split effected in the form of a common stock dividend, 8/12 Net income Balance at December 31, 2023 10% common stock dividend, 5/1 Sale of common shares, 9/1 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2024 Year 2022 2023 2024 Numerator + Denominator = = LOCKE INTERTECHNOLOGY CORPORATION Statements of Shareholders' Equity For the Years Ended December 31, 2022, 2023, and 2024 ($ in millions) = = Preferred Stock, Common Stock, $1 Additional Paid-in $10 par par $40 9 9 Earnings per share 9 $9 8 48 (4) 22.0 66.0 6.60 3 $ 75.60 Capital $ 550 520 85 1,155 (40) (22.0) 1,093.0 90 31 $ 1,214.0 Required: Infer from the statements the events and transactions that affected Locke Intertechnology Corporation's shareholders' equity and compute earnings per share as it would have appeared on the income statements for the years ended December 31, 2022, 2023, and 2024. No potential common shares were outstanding during any of the periods shown. Note: Do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places (i.e., 5,550,000 should be entered as 5.55). Retained Earnings $ 1,900 (4) (13) 350 2,233 (25) (4) (17) 450 2,637 (96.60) (33) 434 $ 2,937.40 Total Shareholders' Equity $ 2,490 529 93 (4) (13) 350 3,445 (69) (4) (17) 450 3,805 34 (33) 434 $ 4,236

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

sssss

Comparative Statements of Shareholders' Equity for Locke Intertechnology Corporation were reported as follows for the fiscal years
ending December 31, 2022, 2023, and 2024.
Balance at January 1, 2022
Sale of preferred shares
Sale of common shares, 7/1
Cash dividend, preferred
Cash dividend, common
Net income
Balance at December 31, 2022
Retirement of common shares, 4/1
Cash dividend, preferred
Cash dividend, common
3-for-2 split effected in the form of a common
stock dividend, 8/12
Net income
Balance at December 31, 2023
10% common stock dividend, 5/1
Sale of common shares, 9/1
Cash dividend, preferred
Cash dividend, common
Net income
Balance at December 31, 2024
Year
2022
2023
2024
Numerator
+
Denominator =
=
LOCKE INTERTECHNOLOGY CORPORATION
Statements of Shareholders' Equity
For the Years Ended December 31, 2022, 2023, and 2024
($ in millions)
=
=
Preferred Stock, Common Stock, $1 Additional Paid-in
$10 par
par
$40
9
9
Earnings per share
9
$9
8
48
(4)
22.0
66.0
6.60
3
$ 75.60
Capital
$ 550
520
85
1,155
(40)
(22.0)
1,093.0
90
31
$ 1,214.0
Required:
Infer from the statements the events and transactions that affected Locke Intertechnology Corporation's shareholders' equity and
compute earnings per share as it would have appeared on the income statements for the years ended December 31, 2022, 2023, and
2024. No potential common shares were outstanding during any of the periods shown.
Note: Do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places (i.e., 5,550,000 should
be entered as 5.55).
Retained Earnings
$ 1,900
(4)
(13)
350
2,233
(25)
(4)
(17)
450
2,637
(96.60)
(33)
434
$ 2,937.40
Total
Shareholders'
Equity
$ 2,490
529
93
(4)
(13)
350
3,445
(69)
(4)
(17)
450
3,805
34
(33)
434
$ 4,236
Transcribed Image Text:Comparative Statements of Shareholders' Equity for Locke Intertechnology Corporation were reported as follows for the fiscal years ending December 31, 2022, 2023, and 2024. Balance at January 1, 2022 Sale of preferred shares Sale of common shares, 7/1 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2022 Retirement of common shares, 4/1 Cash dividend, preferred Cash dividend, common 3-for-2 split effected in the form of a common stock dividend, 8/12 Net income Balance at December 31, 2023 10% common stock dividend, 5/1 Sale of common shares, 9/1 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2024 Year 2022 2023 2024 Numerator + Denominator = = LOCKE INTERTECHNOLOGY CORPORATION Statements of Shareholders' Equity For the Years Ended December 31, 2022, 2023, and 2024 ($ in millions) = = Preferred Stock, Common Stock, $1 Additional Paid-in $10 par par $40 9 9 Earnings per share 9 $9 8 48 (4) 22.0 66.0 6.60 3 $ 75.60 Capital $ 550 520 85 1,155 (40) (22.0) 1,093.0 90 31 $ 1,214.0 Required: Infer from the statements the events and transactions that affected Locke Intertechnology Corporation's shareholders' equity and compute earnings per share as it would have appeared on the income statements for the years ended December 31, 2022, 2023, and 2024. No potential common shares were outstanding during any of the periods shown. Note: Do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places (i.e., 5,550,000 should be entered as 5.55). Retained Earnings $ 1,900 (4) (13) 350 2,233 (25) (4) (17) 450 2,637 (96.60) (33) 434 $ 2,937.40 Total Shareholders' Equity $ 2,490 529 93 (4) (13) 350 3,445 (69) (4) (17) 450 3,805 34 (33) 434 $ 4,236
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 1 steps

Blurred answer
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education