Definition of Basic EPS Profit attributable to ordinary shareholders ► Profit after tax - Preference shares dividend Note on amount of preference dividend Type of preference dividend Non-cumulative Amount to be deducted Declared during the reporting period Cumulative Required for the reporting period Declared: Dividend included in P&L after announcing to the public Required: Dividend included in P&L no matter announced or not

Definition of Basic EPS Profit attributable to ordinary shareholders ► Profit after tax - Preference shares dividend Note on amount of preference dividend Type of preference dividend Non-cumulative Amount to be deducted Declared during the reporting period Cumulative Required for the reporting period Declared: Dividend included in P&L after announcing to the public Required: Dividend included in P&L no matter announced or not

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter10: Stockholder's Equity

Section: Chapter Questions

Problem 38CE: Stockholder Payout Ratios The following information pertains to Milo Mindbender Corporation:...

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Dividends in arrears on preference shares are reported in the financial statements as a (an) a. liabilityb. reduction from Retained Earningsc. reduction from Retained Earningsd. expense
calculate the dividend payout?
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Calculate the total payout?
Cumulative preferred dividends in arrears should be shown in a corporation's balance sheet as: O A footnote O An increase in current liabilities O An increase in current liabilities for the current portion and long-term liabilities for the long-term portion O An increase in stockholders' equity
Stockholder Payout Ratios The following information pertains to Milo Mindbender Corporation: Required: Calculate the dividend yield, dividend payout, and total payout. (Note: Round answers to two decimal places.)
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What is prefences share captial? What is the journal entries mean?
1. Gains on sale of treasury shares (cost method) should be credited to •Share premium – treasury •Ordinary share •Gain on sale of treasury •Retained earnings 2. When share without par value and stated value are sold, the proceed should be credited to a. Profit or Loss b. Retained Earnings c. Share Capital d. Share premium
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1. It represents the cumulative balance of periodic earnings, dividend distributions, prior period adjustments and other capital adjustments. a. Income summaryb. net incomec.dividends d. accumulated profits 2. The date on which liability for dividends must be recorded a. Date of recordb.Date of issuance c.Date of payment d. Declaration date 3. The amount attributable to every share of ordinary share capital outstanding during the period. a. Par value b. Stated value c. Carrying value d. Bookvalue 4. The date which determines who gets the dividend a. Date of payment b. Date of declaration c. Date of record d. Date of issuance 5. How is the treasury share account presented in the Statement of Financial Position? a. deducted from accumulated profitsb. deducted from shareholders’ equityc. part of reservesd. current asset