On December 31, 2023, Berclair Incorporated had 400 million shares of common stock and 6 million shares of 9%, $100 par value cumulative preferred stock issued and outstanding. . On March 1, 2024, Berclair purchased 30 million shares of its common stock as treasury stock. Berclair issued a 5% common stock dividend on July 1, 2024. • Five million treasury shares were sold on October 1. • Net income for the year ended December 31, 2024, was $650 million. Required: Compute Berclair's earnings per share for the year ended December 31, 2024. Note: Do not round Intermediate calculations. Enter your answers in millions (l.e., 10,000,000 should be entered as 10). Numerator Denominator = Earnings per Share 0
Q: E5-11 (L03) EXCEL (Balance Sheet Preparation) Presented below is the adjusted trial balance of Kelly…
A: The financial statements prepared at year end include income statement , balance sheet and statement…
Q: Average rate of return The following data are accumulated by Patterson Inc. in evaluating two…
A: The objective of the question is to calculate the expected average rate of return for each project.…
Q: Megamart provides the following information on its two investment centers. Income $ 3,306,000…
A: Profit margin is expressed as a percentage of sales and profit here refers to the income from…
Q: Crane Corporation uses the perpetual inventory system and began business on April 1. During the…
A: A journal entry is a basic accounting record that is used to chronologically track financial…
Q: Carter, Incorporated, produces two products, Product A and Product B. Carter uses a traditional…
A: The pre-determined overhead rate is calculated as the estimated overhead costs divided by the…
Q: Fixed costs, variable costs, and revenues are all included in profitability analysis? Select one: O…
A: Variable costs are expenses that vary in proportion to the volume of goods s that a business…
Q: Zisk Company purchases direct materials on credit. Budgeted purchases are April, $85,000; May,…
A: Cash Budget is prepared to analyze the cash transaction or cash flow of business.Non-cash items do…
Q: 4. On January 1, 2017, the Z. Corporation acquired a 20% interest in D Company by purchasing 4,800…
A: Equity method is used by the acquirer entity when the percentage investment lies between 20%-50%. As…
Q: Which of the following statements is correct regarding auditor independence in fact and in…
A: Independence in fact refers that the auditor should be independent in itself. The auditor should…
Q: Subject: Foreign Source Income Norah Johns has foreign source income of $30,000 during the current…
A: The objective of the question is to calculate the increase in Norah's taxable income and federal tax…
Q: Alford, Beeson, and Carlton have operated a coffee shop for a number of years as a partnership. At…
A: The ending balance is computed in a statement separately from the income statement or balance sheet.…
Q: Riverbed Corporation issued $610,000 of 9% bonds on November 1, 2025, for $651,453. The bonds were…
A: The Amortization of an premium on bonds refers to the systematic allocation of the premium amount…
Q: Summit Corporation manufactures machines for the apparel industry. The production manager and cost…
A: Answer:- Variable Cost:- Variable Cost is a cost that varies with the level of output. Variable…
Q: Which of the following is a deductible expense for an individual taxpayer? A) Rent payments for…
A: The child care expenses are paid by an individual while working or looking for work. The allowed…
Q: An Account has an balance of $3500 an earns an annual compound intrest rate over 2 yrs leaving the…
A: Future value ($4,390.08) is the worth of cash we have today ($3,500) after 2 years. Basically…
Q: Make the entry as of December 31, 2025, recording any necessary amortization. (Credit account titles…
A: INTANGIBLE ASSETS Intangible assets are non-physical assets that lack a physical substance but…
Q: Statement I: If an agent acts in his name, the principal shall have a right of action against the…
A: An accumulation of funds set aside for a specific goal is called a fund. A fund may be established…
Q: Convers Corporation
A: With bonus depreciation, companies may write off a sizeable portion of the purchase price of…
Q: The results for March for Savery Parts follow: Actual (based on actual sales of 14,742 units) Master…
A: Variance analysis is the method adopted by the management which determines the difference between…
Q: Megatronics Corporation, a massive retailer of electronic products, is organized in four separate…
A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: For which of the following statements is it not possible to arrive at an answer due to information…
A: In the reducing balance method, the depreciation expense is calculated as a percentage of the…
Q: Baird Publications established the following standard price and costs for a hardcover picture book…
A: The variance is the difference between the actual result and the company's standard result.…
Q: Hostra Co. (Hostra), a publicly accountable company, has prepared the following information to…
A: A liability that appears on a balance sheet as a result of a discrepancy in income recognition…
Q: Coronado Company's record of transactions for the month of April was as follows. April 1 (balance on…
A: A perpetual inventory system updates the inventory balance continually, which usually requires…
Q: Mecca 4 Company, a retailer of specialty wall-papers, prepares a monthly master budget. Data for the…
A: Budgeting is a process of estimating income and expenses for the future period well in advance. It…
Q: Last year, Cayman Corporation had sales of $27 million, total variable costs of $13 million, and…
A: Variable costs are costs which changes along with change in activity level. Contribution margin is…
Q: Echo Amplifiers prepared the following sales budget for the first quarter of 2018: Feb. Jan. Units…
A: Variable cost is the cost that changes with change in the activity of cost driver used. The variable…
Q: Just prior to a major medical procedure, Cody gives his son, Liam, stock in Robin Corporation (fair…
A: The objective of the question is to determine the income tax implications for Liam in two scenarios:…
Q: 1. Record journal entries for the following transactions of Hansen Bakery Company. Jan. 1, 2020 Dec.…
A: The objective of the question is to record the journal entries for the transactions of Hansen Bakery…
Q: As the new accountant for Cohen & Company, you have been asked to provide a succinct analysis of…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Cullumber Company is presently testing a number of new agricultural seeds that it has recently…
A: Journal Entry is the First stage of Accounting Process. Journal Entry is the Process of Recording…
Q: What is Ariel's basis for the ring?
A: Gifted property refers to assets transferred from one individual to another without the expectation…
Q: During its first year of operations, Crane Corporation had these transactions pertaining to its…
A: ACCOUNTING EQUATIONAccounting Equation is a Financial Accounting Technique which represents the…
Q: Blossom Company expects to produce 1,200,000 units of product XX in 2022. Monthly production is…
A: Flexible budget is a dynamic budget.It shows estimated costs and profits with different level of…
Q: Sweeney originally con
A: We must compute Sweeney's adjusted basis in the LLC stake in order to ascertain the gain on the…
Q: The appropriate cost per unit of inventory is: M $4.05 $3.13 $5.33 N $12.60 $6.60 $10.08 $5.08 $5.33…
A: The term "cost per unit" describes the combined fixed and variable expenses related to creating and…
Q: On October 10, the stockholders' equity section of Sherman Systems appears as follows. Common…
A: Stockholder's Equity includes the amount contributed by shareholders in the form of common stock,…
Q: Which of the following statements is not correct? Multiple Choice Corporations must estimate and…
A: Each and every business entity needs to pay income taxes on the profits earned by them.At the year…
Q: For the year ended December 31, 2024, Fidelity Engineering reported pretax accounting income of…
A: The calculation for net income (NI), which is also known as net profits, is the same as the…
Q: Futura Company purchases the 66.000 starters that it installs in its standard line of farm tractors…
A: The differential analysis is performed to compare the different alternatives available with the…
Q: At the end of the day the clerk for Aaron's Variety Shop noticed an error in the amount of cash he…
A: The journal entries are prepared to record the transactions on regular basis. The adjustment entries…
Q: The closing trade receivables as at 31/10/2020 before bad debts written off were £165,000. The…
A: A counter account termed as an allowance for doubtful accounts nets against the total receivables…
Q: Deitz Corporation is projecting a cash balance of $33,000 in its December 31, 2019, balance sheet.…
A: The cash budget records the cash receipts and cash disbursements during the period. The cahs budget…
Q: Required: 1. Explain the difference between a static budget and a flexible budget. 2. Which of the…
A: Static Budget & Flexible Budget: > Static budget is based on a fixed budgeted cost for a…
Q: allocated to products profit (loss) 242,600 158,230 $(7,730) 296,660 236,464 $ 64,356 174,500…
A: Differential cost analysis is method the compares the cost and benefit of two or more alternatives…
Q: On November 10 of the current year, Cherokee Industries sold materials to a customer for $8,000 with…
A: Journal Entry :— It is an act of recording transactions in books of account when transaction…
Q: Prepare the journal entries to record the following sales transactions in Flint Corp's books. Flint…
A: Journal entry is the act of keeping records of transactions in an accounting journal. An accounting…
Q: 960'ES C $8,600
A: In financial lease, the ownership is notionally passed to the lesse.This is beacause the risk and…
Q: Radar Company sells bikes for $530 each. The company currently sells 4,450 bikes per year and could…
A: The contribution margin per scarce resource is determined to find the optimal mix of production. The…
Q: Required: Use the step-down method to allocate the budgeted costs of the HR and Computing…
A: The step-down method is used to allocate the support department's cost to another support department…
Rahul
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Kent Corporation was organized on January 1, 2014. On that date, it issued 200,000 shares of 10 par value common stock at 15 per share (400,000 shares were authorized). During the period January 1, 2014, through December 31, 2019, Kent reported net income of 750,000 and paid cash dividends of 380,000. On January 5, 2019, Kent purchased 12,000 shares of its common stock at 12 per share. On December 28, 2019, 8,000 treasury shares were sold at 8 per share. Kent used the cost method of accounting for treasury shares. What is Kents total shareholders equity as of December 31, 2019? a. 3,290,000 b. 3,306,000 c. 3,338,000 d. 3,370,000Hyde Corporations capital structure at December 31, 2018, was as follows: On July 2, 2019, Hyde issued a 10% stock dividend on its common stock and paid a cash dividend of 2.00 per share on its preferred stock. Net income for the year ended December 31, 2019, was 780,000. What should be Hydes 2019 basic earnings per share? a. 7.80 b. 7.09 c. 7.68 d. 6.73Raun Company had the following equity items as of December 31, 2019: Preferred stock, 9% cumulative, 100 par, convertible Paid-in capital in excess of par value on preferred stock Common stock, 1 stated value Paid-in capital in excess of stated value on common stock| Retained earnings The following additional information about Raun was available for the year ended December 31, 2019: 1. There were 2 million shares of preferred stock authorized, of which 1 million were outstanding. All 1 million shares outstanding were issued on January 2, 2016, for 120 a share. The preferred stock is convertible into common stock on a 1-for-1 basis until December 31, 2025; thereafter, the preferred stock ceases to be convertible and is callable at par value by the company. No preferred stock has been converted into common stock, and there were no dividends in arrears at December 31, 2019. 2. The common stock has been issued at amounts above stated value per share since incorporation in 2002. Of the 5 million shares authorized, 3,580,000 were outstanding at January 1, 2019. The market price of the outstanding common stock has increased slowly but consistently for the last 5 years. 3. Raun has an employee share option plan where certain key employees and officers may purchase shares of common stock at 100% of the marker price at the date of the option grant. All options are exercisable in installments of one-third each year, commencing 1 year after the date of the grant, and expire if not exercised within 4 years of the grant date. On January 1, 2019, options for 70,000 shares were outstanding at prices ranging from 47 to 83 a share. Options for 20,000 shares were exercised at 47 to 79 a share during 2019. During 2019, no options expired and additional options for 15,000 shares were granted at 86 a share. The 65,000 options outstanding at December 31, 2019, were exercisable at 54 to 86 a share; of these, 30,000 were exercisable at that date at prices ranging from 54 to 79 a share. 4. Raun also has an employee share purchase plan whereby the company pays one-half and the employee pays one-half of the market price of the stock at the date of the subscription. During 2019, employees subscribed to 60,000 shares at an average price of 87 a share. All 60,000 shares were paid for and issued late in September 2019. 5. On December 31, 2019, there was a total of 355,000 shares of common stock set aside for the granting of future share options and for future purchases under the employee share purchase plan. The only changes in the shareholders equity for 2019 were those described previously, the 2019 net income, and the cash dividends paid. Required: Prepare the shareholders equity section of Rauns balance sheet at December 31, 2019. Substitute, where appropriate, Xs for unknown dollar amounts. Use good form and provide full disclosure. Write appropriate notes as they should appear in the publisher financial statements.
- Cash dividends on the 10 par value common stock of Garrett Company were as follows: The 4th-quarter cash dividend was declared on December 21, 2019, to shareholders of record on December 31, 2019. Payment of the 4th-quarter cash dividend was made on January 18, 2020. In addition, Garrett declared a 5% stock dividend on its 10 par value common stock on December 3, 2019, when there were 300,000 shares issued and outstanding and the market value of the common stock was 20 per share. The shares were issued on December 24, 2019. What was the effect on Garretts shareholders equity accounts as a result of the preceding transactions?Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. Open the file STOCKEQ from the website for this book at cengagebrain.com. Enter the formulas in the appropriate cells on the worksheet. Then fill in the columns to show the effect of each of the selected transactions and events listed earlier. Enter your name in cell A1. Save the completed worksheet as STOCKEQ2. Print the worksheet. Also print your formulas. Check figure: Total stockholders equity balance at 12/31/12 (cell G21). 398,800.Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements. In the space provided below, prepare the stockholders equity section of Chen Corporations balance sheet as of December 31, 2012. Use proper headings and provide full disclosure of all appropriate information. Chens corporate charter authorizes the issuance of 1,000 shares of preferred stock and 100,000 shares of common stock.
- Chen Corporation began 2012 with the following stockholders equity balances: The following selected transactions and events occurred during the year: a. Issued 10,000 shares of common stock for 60,000. b. Purchased 1,200 shares of treasury stock for 4,800. c. Sold 2,000 shares of treasury stock for 11,000. d. Generated net income of 94,000. e. Declared and paid the full years dividend on preferred stock and a dividend of 1.00 per share on common stock outstanding at the end of the year. Chen Corporation maintains several paid-in capital accounts (Paid-in Capital in Excess of Par, Paid-in Capital from Treasury Stock, etc.) in its ledger, but combines them all as Additional paid-in capital when preparing financial statements.Outstanding Stock Lars Corporation shows the following information in the stockholders equity section of its balance sheet: The par value of common stock is S5, and the total balance in the Common Stock account is $225,000. There are 13,000 shares of treasury stock. Required: What is the number of shares outstanding? Use the following information for Exercises 10-58 and 10-59: Stahl Company was incorporated as a new business on January 1, 2019. The company is authorized to issue 600,000 shares of $2 par value common stock and 80,000 shares of 6%, S20 par value, cumulative preferred stock. On January 1, 2019, the company issued 75,000 shares of common stock for $15 per share and 5,000 shares of preferred stock for $25 per share. Net income for the year ended December 31, 2019, was $500,000.Anoka Company reported the following selected items in the shareholders equity section of its balance sheet on December 31, 2019, and 2020: In addition, it listed the following selected pretax items as a December 31, 2019 and 2020: The preferred shares were outstanding during all of 2019 and 2020; annual dividends were declared and paid in each year. During 2019, 2,000 common shares were sold for cash on October 4. During 2020, a 20% stock dividend was declared and issued in early May. At the end of 2019 and 2020, the common stock was selling for 25.75 and 32.20, respectively. The company is subject to a 30% income tax rate. Required: 1. Prepare the comparative 2019 and 2020 income statements (multiple-step), and the related note that would appear in Anokas 2020 annual report. 2. Next Level Compute the price/earnings ratio for 2020. How does this compare to 2019? Why is it different?
- Silva Company is authorized to issue 5,000,000 shares of $2 par value common stock. In its IPO, the company has the following transaction: Mar. 1, issued 500,000 shares of stock at $15.75 per share for cash to investors. Journalize this transaction.Monona Company reported net income of 29,975 for 2019. During all of 2019, Monona had 1,000 shares of 10%, 100 par, nonconvertible preferred stock outstanding, on which the years dividends had been paid. At the beginning of 2019, the company had 7,000 shares of common stock outstanding. On April 2, 2019, the company issued another 2,000 shares of common stock so that 9,000 common shares were outstanding at the end of 2019. Common dividends of 17,000 had been paid during 2019. At the end of 2019, the market price per share of common stock was 17.50. Required: 1. Compute Mononas basic earnings per share for 2019. 2. Compute the price/earnings ratio for 2019.Cary Corporation has 50,000 shares of 10 par common stock authorized. The following transactions took place during 2019, the first year of the corporations existence: Sold 5,000 shares of common stock for 18 per share. Issued 5,000 shares of common stock in exchange for a patent valued at 100,000. At the end of Carys first year, total contributed capital amounted to: a. 40,000 b. 90,000 c. 100,000 d. 190,000