FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 11: Reporting and Interpreting Stockholders Equity

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 111

Multiple Choice

Review LaterAdd Note

Review Later

The Enterprise Co.has the following information available from its accounting records: The company has no preferred stock.What is the earnings per share?

A) $0.40
B) $4.00
C) $4.67
D) $5.60

E) B) and D)
F) B) and C)

Correct Answer

verified

Show Answer

Question 112

Multiple Choice

Review LaterAdd Note

Review Later

At the end of its first year of operations,Mendes Inc.had 75,000 shares of preferred stock,5% cumulative,$100 par value.It also has 500,000 shares of common stock $0.01 par value.(The share information represents the numbers of shares issued and outstanding for both types of stock.) If sufficient dividends are declared,what is the per share dividend that will be paid on the preferred stock?

A) $3,750
B) $380,000
C) $375,000
D) $5,000

E) A) and D)
F) C) and D)

Correct Answer

verified

Show Answer

Question 113

Multiple Choice

Review LaterAdd Note

The creation and oversight of all corporations are regulated by:

Which of the following reasons best explains why earnings per share (EPS) is such a popular measure to evaluate a company?

Preferred stock differs from common stock in that:

An Additional Paid-in Capital account could be used with all of the following transactions except:

Generally,a relatively high P/E ratio indicates:

Fronthouse Corp.issues 10,000 shares of no-par value preferred stock for cash at $60 per share.The journal entry to record the transaction will consist of a debit to Cash for $600,000 and a credit (or credits) to:

A company issues 500,000 shares of preferred stock for $30 a share.The stock has a fixed annual dividend rate of 5% and a par value of $9 per share.The current price of the preferred stock is $32 a share.If sufficient dividends are declared,preferred stockholders can anticipate receiving annual dividends of:

A corporation had 10,000 shares of $10 par value common stock outstanding.The board of directors declared and issued a 10% stock dividend.The market value of the stock was $20 per share.What is the journal entry to record this stock dividend?

When a company issues stock to the public for the first time,the issuance is called a(n) :

Which number is potentially the largest?

If a company's earnings per share and return on equity both increase:

Jay-Cee Corporation had 20,000 shares of $4 par value common stock outstanding on January 1.On January 20,the company purchased 2,000 of its stock for $16 per share.On July 3,the company reissued 1,000 of the shares at $20 per share.Jay-Cee uses the cost method to account for its treasury stock.Assume the company paid a dividend of $5 per share on August 3.What is the total amount of the dividends that would be paid to the common stockholders?

If a company's P/E ratio is 12.5 and the company's stock price is $17.50 per share then the company's EPS is:

Use the information above to answer the following question.During the following year,Ferris Company earned net income of $75,000,issued 5,000 shares of $1 par common stock at an average market price of $44 per share,and declared dividends of $20,500.What amount was the total stockholder's equity reported on the balance sheet at the end of that year?

The journal entry to record a large stock dividend includes a debit to Retained earnings and a credit to:

Oxford Corporation has 120,000 shares of preferred stock,8% cumulative,$100 par value It also has 1,400,000 shares of common stock,$0.01 par value.(The share information represents the numbers of shares issued and outstanding for both types of stock.) Dividends in arrears at the beginning of the year totaled $480,000.If Oxford's board of directors declares a total dividend of $1,650,000 to be distributed to preferred and common stockholders,how much will be paid to the common stockholders?

Ownership structure can vary from one company to another,but the most basic form of corporation offers:

On January 1,2014,Bank & Rupp,Inc.issued 100,000 shares of $1 par value common stock and 1,000 shares of $50 par value,6%,cumulative preferred stock.No dividends were declared in 2014.In 2015,Bank & Rupp declared and paid a $1 dividend to its common stockholders.Assuming all shares originally issued are outstanding,the total dividend paid to the preferred stockholders equals: