Book value per common share is computed by: O Multiplying the number of common shares outstanding times the market price per common share. Dividing total assets by the number of shares outstanding. Dividing stockholders' equity applicable to common shares by the number of common shares outstanding. O Multiplying the number of common shares outstanding by par value per common share. Dividing the number of common shares outstanding by stockholders' equity applicable to common shares.

Book value per common share is computed by: O Multiplying the number of common shares outstanding times the market price per common share. Dividing total assets by the number of shares outstanding. Dividing stockholders' equity applicable to common shares by the number of common shares outstanding. O Multiplying the number of common shares outstanding by par value per common share. Dividing the number of common shares outstanding by stockholders' equity applicable to common shares.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter16: Financial Statement Analysis

Section: Chapter Questions

Problem 10BE

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Similar questions

Book value per share is computed by dividing the net assets to the total number of shares outstanding. a. TRUE b. FALSE
The price-earnings ratio on common stock is calculated as a.market price per share of common stock, divided by earnings per share on common stock b.market price per share of common stock, divided by dividends per share of common stock c.earnings per share of common stock, divided by market price per share of common stock d.dividends per share of common stock, divided by earnings per share on common stock
EPS is computed by dividing net income by the average number of shares outstanding. True False
It is calculated, taking into account the outstanding equity shares of the company A. Conversion Earnings per share B. Diluted earnings per share C. Basic earnings per share D. Share options
Compute for the following:
For the purpose of calculating earnings per share (EPS), the denominator is:Select one:a. Outstanding ordinary shares at balance date.b. Weighted-average number of the sum fully paid ordinary shares and partly paid equivalents.c. Outstanding ordinary shares at balance date and weighted-average number of fully paid ordinary shares.d. Weighted-average number of fully paid ordinary shares.
Indicate how each of the following accounts should be classified in the equity section.(a) Share Capital—Ordinary. (e) Share Premium—Treasury.(b) Retained Earnings. (f) Share Capital—Preference.(c) Share Premium—Ordinary. (g) Accumulated Other Comprehensive Income.(d) Treasury Shares.
In its most basic form, the Earnings per Share (EPS) ratio is calculated as: Net income divided by average stockholder’s equity. Dividends paid on common stock divided by the average number of shares outstanding of common stock. Net income divided by the average number of shares outstanding of common stock. Sales divided by average stockholder’s equity.
Indicate how each of the following accounts should be classified in the stockholders’ equity section. a. Common Stock. b. Retained Earnings. c. Paid-in Capital in Excess of Par—Common Stock. d. Treasury Stock. e. Paid-in Capital from Treasury Stock. f. Paid-in Capital in Excess of Stated Value—Common Stock. g. Preferred Stock.
Which of the following is the second priority in the valuation of shares issued for services received? Par Value of shares FV of services Billings on services FV of shares
Compute the book value per share of the common stock.
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