Financial Accounting
3rd Edition
ISBN: 9780133791129
Author: Jane L. Reimers
Publisher: Pearson Higher Ed
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Chapter 8, Problem 57PA
1.
To determine
Show the effect of each transaction in the
2.
To determine
Prepare the
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SW Company provides the Equity & Liability Information below for analysis. SW Company had net income of $365,700 in 2023 and
$352,900 in 2022.
Equity and Liabilities
Share capital-common (132,300 shares issued)
Retained earnings (Note 1)
Accrued liabilities
Notes payable (current)
Accounts payable
Total equity and liabilities
Return on equity
Note 1: Cash dividends were paid at the rate of $1 per share in 2022 and $2 per share in 2023.
Required:
1. Calculate the return on common share equity for 2022 and 2023. (Assume total equity was $1,364,100 at December 31, 2021.)
(Round your answers to 1 decimal place.)
2022
Book value per share
%
2022
2023
2023
2022
$1,282,500 $1,282,500
%
2023
382,200
10,000
72,000
60,800
$1,807,500
2. Calculate the book value per shares for 2022 and 2023. (Round your answers to 2 decimal places.)
308,500
6,000
66,100
177, 200
$1,840,300
SW Company provides the Equity & Liability information below for analysis. SW Company had net income of $400,700 in 2023 and $335,800 in 2022.
Equity and Liabilities
2023
Share capital-common (136,400 shares issued) $
Retained earnings (Note 1)
Accrued liabilities
Notes payable (current)
Accounts payable
Total equity and liabilities
$
1,242,000
417,700
9,100
76,600
63,300
1,808,700
2022
$ 1,242,000
300,000
6,100
66,700
182,500
$ 1,797,300
Note 1: Cash dividends were paid at the rate of $1 per share in 2022 and $2 per share in 2023.
Required:
1. Calculate the return on common share equity for 2022 and 2023. (Assume total equity was $1,439,000 at December 31, 2021.) (Round your answers to 1 decimal place.)
2. Calculate the book value per shares for 2022 and 2023. (Round your answers to 2 decimal places.)
SW Company provides the Equity & Liability information below for analysis. SW Company had net income of $404,600 in 2023 and
$311,800 in 2022.
Equity and Liabilities
Share capital-common (122,900 shares issued)
Retained earnings (Note 1).
Accrued liabilities
Notes payable (current)
Accounts payable
Total equity and liabilities
2023
2022
$1,215,000 $1,215,000
413,800 311,300
9,800
6,600
79,700
61,400
56,600
175,500
$1,779,700 $1,765,000
Note 1: Cash dividends were paid at the rate of $1 per share in 2022 and $2 per share in 2023.
Required:
1. Calculate the return on common share equity for 2022 and 2023. (Assume total equity was $1,469,000 at December 31, 2021.)
(Round your answers to 1 decimal place.)
2022
2023
Return on equity
%
2. Calculate the book value per shares for 2022 and 2023. (Round your answers to 2 decimal places.)
2022
2023
Book value per share
Chapter 8 Solutions
Financial Accounting
Ch. 8 - Prob. 1YTCh. 8 - Prob. 2YTCh. 8 - Prob. 3YTCh. 8 - Prob. 4YTCh. 8 - 1. Compare a stock split and a stock dividend. 2....Ch. 8 - Prob. 6YTCh. 8 - Prob. 1QCh. 8 - Prob. 2QCh. 8 - Prob. 3QCh. 8 - Prob. 4Q
Ch. 8 - Prob. 5QCh. 8 - Prob. 6QCh. 8 - Prob. 7QCh. 8 - Prob. 8QCh. 8 - Prob. 9QCh. 8 - Prob. 10QCh. 8 - Prob. 11QCh. 8 - Would treasury stock be considered authorized,...Ch. 8 - Prob. 13QCh. 8 - Prob. 14QCh. 8 - Prob. 15QCh. 8 - What are the two sections of the shareholders...Ch. 8 - Prob. 17QCh. 8 - Prob. 18QCh. 8 - Prob. 19QCh. 8 - Prob. 1MCQCh. 8 - Prob. 2MCQCh. 8 - Treasury stock is a. a companys own stock that it...Ch. 8 - Prob. 4MCQCh. 8 - Prob. 5MCQCh. 8 - Prob. 6MCQCh. 8 - The number of shares of stock designated as issued...Ch. 8 - Prob. 8MCQCh. 8 - Prob. 9MCQCh. 8 - Prob. 10MCQCh. 8 - Prob. 1SEACh. 8 - Prob. 2SEACh. 8 - Prob. 3SEACh. 8 - Prob. 4SEACh. 8 - Prob. 5SEACh. 8 - Prob. 6SEACh. 8 - Prob. 7SEACh. 8 - Prob. 8SEACh. 8 - Prob. 9SEACh. 8 - Calculate retained earnings balance. (LO 5)....Ch. 8 - Prob. 11SEACh. 8 - Prob. 12SEBCh. 8 - Prob. 13SEBCh. 8 - Prob. 14SEBCh. 8 - Prob. 15SEBCh. 8 - Prob. 16SEBCh. 8 - Prob. 17SEBCh. 8 - Prob. 18SEBCh. 8 - Prob. 19SEBCh. 8 - Prob. 20SEBCh. 8 - Prob. 21SEBCh. 8 - Prob. 22SEBCh. 8 - Prob. 23EACh. 8 - Prob. 24EACh. 8 - Prob. 25EACh. 8 - Prob. 26EACh. 8 - Prob. 27EACh. 8 - Prob. 28EACh. 8 - Prob. 29EACh. 8 - Prob. 30EACh. 8 - Prob. 31EACh. 8 - Analyze equity accounts. (LO 1, 2, 3, 5). The...Ch. 8 - Prob. 33EACh. 8 - Prob. 34EACh. 8 - Prob. 35EACh. 8 - Prob. 36EACh. 8 - Prob. 37EACh. 8 - Prob. 38EACh. 8 - Prob. 39EBCh. 8 - Prob. 40EBCh. 8 - Prob. 41EBCh. 8 - Prob. 42EBCh. 8 - Prob. 43EBCh. 8 - Prob. 44EBCh. 8 - Prob. 45EBCh. 8 - Prob. 46EBCh. 8 - Prob. 47EBCh. 8 - Prob. 48EBCh. 8 - Prob. 49EBCh. 8 - Prob. 50EBCh. 8 - Prob. 51EBCh. 8 - Prob. 52EBCh. 8 - Prob. 53EBCh. 8 - Prob. 54EBCh. 8 - Prob. 55PACh. 8 - Prob. 56PACh. 8 - Prob. 57PACh. 8 - Prob. 58PACh. 8 - Prob. 59PACh. 8 - Prob. 60PACh. 8 - Prob. 61PACh. 8 - Prob. 62PACh. 8 - Prob. 63PBCh. 8 - Prob. 64PBCh. 8 - Prob. 65PBCh. 8 - Prob. 66PBCh. 8 - Prob. 67PBCh. 8 - Prob. 68PBCh. 8 - Prob. 69PBCh. 8 - Prob. 70PBCh. 8 - Prob. 1FSACh. 8 - Prob. 2FSACh. 8 - Prob. 3FSACh. 8 - Prob. 1CTPCh. 8 - Prob. 2CTPCh. 8 - Prob. 1IECh. 8 - Prob. 2IECh. 8 - Prob. 3IECh. 8 - Prob. 4IECh. 8 - Prob. 5IE
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The KEY to Understanding Financial Statements; Author: Accounting Stuff;https://www.youtube.com/watch?v=_F6a0ddbjtI;License: Standard Youtube License