Everdeen Mining, Inc., ended 2015 with net profits before taxes of $430,000. The company is subject to a 40% tax rate and must pay $62,600 in preferred stock dividends before distributing any earnings on the $171,000 shares of common stock currently outstanding. a) The firms EPS is b) If the firm paid common stock dividends of .84 cents per share the amount that would go to retained earnings is
Q: The highest value of total cost was $880,000 in June for Mantilla Beverages, Inc. Its lowest value…
A: Step 1: Difference in cost Difference in cost = Highest cost - Lowest costDifference in cost =…
Q: Not use ai solution please solve things question general Accounting
A: Days sales uncollected = (Accounts Receivable / Net Sales) x 365 daysDays sales uncollected = (6,500…
Q: Don't use ai to answer I will report you answer
A: Approach To Solving the Questions:First, the company has $810,000 in operating assets. Fixed…
Q: Abc ? Accounting
A: Step 1: Definition of Break-even AnalysisBreak-even analysis helps businesses determine the point…
Q: Answer this general accounting problem
A: Explanation of Basis: Basis is the original cost of an asset for tax purposes, typically the…
Q: Ans general accounting question
A: The growth rate g=ROE × Retention Ratiowhere:ROE=11.5%=0.115Retention Ratio = 55% =…
Q: There was no beginning balance in any inventory account?
A: Explanation of Direct Materials: Direct materials represent the raw materials that can be directly…
Q: Provide answer general accounting question
A: Step 1: Define Retention RatioThe retention ratio and dividend payout ratio has an inverse…
Q: Solution
A: Detailed explanation:1. a. Interrelated factors demand comprehensive evaluationCross-dimensional…
Q: Give true answer this general accounting question
A: Step 1: Define Gross ProfitGross Profit is the financial metric that represents the difference…
Q: General Accounting Question
A: Step 1: Define Taxable Income ReclassificationThe IRS reclassification of unreasonable compensation…
Q: What is the gain or loss she will recognise on the sale?
A: Explanation of Gain or Loss on Sale of Land:Gain or loss on the sale of land is determined by…
Q: Need Answer
A: To calculate the cash collected from customers during the month, we can use the following formula:…
Q: Can you please answer this financial accounting question?
A: Step 1:The net realizable value of accounts receivable is calculated by deducting the ending balance…
Q: What is the correct option? ? General Accounting question
A: To calculate the Cost of Merchandise Sold (COGS), we use the formula: COGS = Beginning Inventory +…
Q: Accounting
A: Step 1: Define SaleA sale occurs when a person gives an item is an exchange for cash. The seller…
Q: Yami Enterprises began the accounting period with $75,000 of merchandise, and the net cost of…
A: To calculate the cost of goods sold (COGS), we can use the following formula: COGS = Beginning…
Q: How much did they charge for each pair?
A: The question requires the determination of the selling price per unit.The selling price with a…
Q: Help
A: Explanation of Cost of Goods Sold (COGS):Cost of Goods Sold (COGS) represents the direct expenses…
Q: Compare and contrast experiences you have had with your own and other people’s monochromic time…
A: Monochronic vs. Polychronic Time Orientation: A Reflection on Personal and Workplace ExperiencesTime…
Q: Select the necessary words from the list of possibilities to complete the following statements. 1.…
A: 3. Audit risk at the account balance level consists of three components:…
Q: General accounting
A: 1. Gordon Growth ModelThe Gordon Growth Model is a fundamental stock valuation model that…
Q: At the beginning of the year
A: To calculate the equity at the end of the year, we use the accounting equation:Assets=Liabilities +…
Q: A company had expenses other than the cost of goods sold of $51,000. Determine Sales and Gross…
A: Here's the step by step solution: Given data:Cost of Goods Sold (COGS) = $25,000Other Expenses =…
Q: Stockholders equity? General accounting
A: Step 1: Definition of Return on Common Stockholders' Equity (ROE)Return on Common Stockholders'…
Q: Calculate the ending balance of the account
A: Explanation of Accounts Receivable:Accounts receivable represent the amount of money that customers…
Q: What is the amount of current liabilities?
A: Explanation of Current Liabilities: These are financial obligations that a company must pay within…
Q: Profit margin on sales?
A: Profit margin = 20%Profit per unit = (20% of target price)Target price = Cost per unit + Profit per…
Q: hello teacher please solve questions
A: Step 1: Definition of High-Low MethodThe high-low method is an accounting technique used to separate…
Q: Need help
A: Step 1: Calculate Cost of Goods Manufactured (COGM)• COGM = Total Manufacturing Costs + Beginning…
Q: What is the cost per machine hour on these general accounting question?
A: Step 1: Define High-Low MethodThe High-Low Method is a cost estimation technique used to determine…
Q: What is the original cost of the machinery?
A: To find the original cost of the machinery, we can use the following formula: Original Cost = Book…
Q: Ans general Accounting
A: Step 1: Define Average Collection Period (Days Sales Outstanding - DSO)The Average Collection Period…
Q: Would be recorded as a gain on disposable of the machine on January??
A: Calculation of Annual Depreciation using Straight Line Depreciation MethodAnnual Depreciation =…
Q: Larry's Building Supplies (LBS) is a local hardware store. LBS uses a perpetual inventory system.…
A: Detailed explanation:Net Sales: Cash Sales in a.$500,000…
Q: What is the adjusted book balance
A: Concept of Ending Cash BalanceThe ending cash balance is the amount of money available in a…
Q: Accounting problem
A: The debt-to-equity ratio is calculated as: Debt-to-Equity Ratio = Total Debt / Equity…
Q: Subject: Financial Accounting
A: Concept of Beginning InventoryBeginning inventory refers to the value of goods that a business has…
Q: General Accounting
A: Step 1: Define Days' Sales UncollectedDays' Sales Uncollected (DSU) measures how many days it takes…
Q: During a period of time, Nova Systems Inc. reported that total liabilities decreased by $55,300 and…
A: Detailed explanation: Given:Total liabilities decreased by $55,300Stockholders' equity increased by…
Q: answer plz
A: The question requires the determination of the Return on Equity. The ROE is considered a measure…
Q: Hi, tutor need your advice
A: Explanation of Assets: Assets are economic resources owned by a company that have value and are…
Q: General Accounting
A: Step 1: Define High-Low MethodThe high-low method is a technique used in cost accounting to estimate…
Q: What is the target price to obtain profit margin on sales?
A: The question requires the determination of the target price to attain a certain profit margin.Target…
Q: Please given answer this question
A: Step 1: Step 1: Definition of Return on Equity (ROE)Return on Equity (ROE) measures a company's…
Q: Compute the total, price, and quantity labor variance?
A: Step 1: Definition of Labor VariancesLabor variances measure the difference between standard labor…
Q: If your estimate is that Galaxy Electronics is going to sell 6,500 units at $25 per piece and each…
A: Explanation of Units: Units represent the quantity of products that Galaxy Electronics expects to…
Q: How much is the cost of goods sold for the year?
A: Cost of goods sold = Beginning inventory + Purchases + Freight-in - Ending inventoryCost of goods…
Q: Company experience the costs
A: In Full (Absorption) costing, the ending inventory is valued using all manufacturing costs,…
Q: Financial accounting question
A: Step 1: Define Accounting RatioAccounting ratios are comparisons of two or more financial data…
Need help
Step by step
Solved in 2 steps with 1 images
- On January 1, 2019, Kittson Company had a retained earnings balance of 218,600. It is subject to a 30% corporate income tax rate. During 2019, Kittson earned net income of 67,000, and the following events occurred: 1. Cash dividends of 3 per share on 4,000 shares of common stock were declared and paid. 2. A small stock dividend was declared and issued. The dividend consisted of 600 shares of 10 par common stock. On the date of declaration, the market price of the companys common stock was 36 per share. 3. The company recalled and retired 500 shares of 100 par preferred stock. The call price was 125 per share; the stock had originally been issued for 110 per share. 4. The company discovered that it had erroneously recorded depreciation expense of 45,000 in 2018 for both financial reporting and income tax reporting. The correct depreciation for 2018 should have been 20,000. This is considered a material error. Required: 1. Prepare journal entries to record Items 1 through 4. 2. Prepare Kittsons statement of retained earnings for the year ended December 31, 2019.The Esposito Import Company had 1 million shares of common stock outstanding during 2016. Its income statement reported the following items: income from continuing operations, $5 million; loss from discontinued operations, $1.6 million. All of these amounts are net of tax. Required: Prepare the 2016 EPS presentation for the Esposito Import Company.During the year just ended, Spriha’s distribution had pretax earnings from operations of $2,290,000. In addition, during the year it received $150,000 in income from interest on bonds & received $88,000 in income from dividend on common stock holding in Microsoft. Spriha’s distribution company is in the 40% tax bracket & is eligible for 70% dividend exclusion.*Interest income received by the company is treated as ordinary income. a. Find the tax and after-tax amount attributable to the interest income.b. Find the tax and after-tax amount attributable to the dividend income
- The following information relates to the operations of Branded Ltd. The net profit after tax was $1,000,000. The company distributed ordinary dividends of $600,000 to its shareholders. Over the year, weighted average number of ordinary shares were 2,000,000. Ordinary shares are currently selling for $8.00 per share. What is the earning per share for the company? 0.20. 0.33. 0.40. 0.50.BubbleTree Inc. had a taxable income of $440,000 last year. Its average tax rate is 31% and it paid out $120,000 in dividends to preferred stockholders. The company has 12,000 shares of common stock outstanding. If BubbleTree pays out a dividend of $12.24 for each share of common stock, what are retained earnings?Edna Recording Studios, Inc., reported earnings available to common stock of $4,000,000 last year. From those earnings, the company paid a dividend of $1.17 on each of its 1,000,000 common shares outstanding. The capital structure of the company includes 35% debt, 25% preferred stock, and 40% common stock. It is taxed at a rate of 21%. a. If the market price of the common stock is $39 and dividends are expected to grow at a rate of 6% per year for the foreseeable future, what is the company's cost of retained earnings financing? b. If underpricing and flotation costs on new shares of common stock amount to $9 per share, what is the company's cost of new common stock financing? c. The company can issue $2.12 dividend preferred stock for a market price of $35 per share. Flotation costs would amount to $5 per share. What is the cost of preferred stock financing?
- bmit Laiho Industries: Balance Sheets as of December 31 (thousands of dollars) Cash Accounts receivable Inventories Total current assets Net fixed assets Total assets Accounts payable Accruals Notes payable Total current liabilities Long-term debt Total liabilities Common stock Retained earnings Total common equity Total liabilities and equity 2021 $103,013 103,108 37,155 $243,276 66,107 $309,383 $ 30,823 30,366 15,132 $ 76,321 76,643 $152,964 95,000 61,419 $156,419 $309,383 2020 Sales $ 89,685 85,708 33,809 $209,202 41,616 $250,818 $ 22,190 21,920 12,782 $56,892 63,593 $120,485 85,000 45,333 $130,333 $250,818 The data has been collected in the Microsoft Excel file below. Download the spreadsheet and perform the required analysis to answer the questions below. Do not round intermediate calculations. Enter your answers in thousands. For example, an answer of $1 thousand should be entered as 1, not 1,000. Round your answers to the nearest whole number. Use a minus sign to enter negative…Filament Recording Studios, Inc., reported earnings available to common stock of $4,200,000 last year. From those earnings, the company paid a dividend of $1.26 on each of its 1,000,000 common shares outstanding. The capital structure of the company includes 40% debt, 10% preferred stock, and 50% common stock. It is taxed at a rate of 40%. A. If the market price of the common stock is $40 and dividends are expected to grow at a rate of 6% per year for the foreseeable future, what is the company’s cost of retained earnings financing? Format: 1.11% B. If underpricing and flotation costs on new shares of common stock amount to $7.00 per share, what is the company’s cost of new common stock financing? Format: 11.11% C. The company can issue $2.00 dividend preferred stock for a market price of $25.00 per share. Flotation costs would amount to $3.00 per share. What is the cost of preferred stock financing? Format: 1.11% D. The company can issue $1,000-par-value, 10% coupon, 5-year bonds…Bolton Corporation had additions to retained earnings for the year just ended of $248,000. The firm paid out $187,000 in cash dividends, and it has ending total equity of $4.92 million. The company currently has 150,000 shares of common stock outstanding. a. b. c. d. If the stock currently sells for $80 per share, what is the market-to-book ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) e. What is the price-earnings ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) f. If the company had sales of $4.74 million, what is the price-sales ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
- n 2018, Beta Corporation earned gross profits of $770,000. a. Suppose that Beta was financed by a combination of common stock and $1.01 million of debt. The interest rate on the debt was 11%, and the corporate tax rate in 2018 was 21%. How much profit was available for common stockholders after payment of interest and corporate taxes? (Do not round intermediate calculations. Enter your answer in dollars not millions and round your answer to the nearest whole dollar amount.) b. Now suppose that instead of issuing debt, Beta was financed by a combination of common stock and $1.01 million of preferred stock. The dividend yield on the preferred was 9%, and the corporate tax rate was still 21%. Recalculate the profit available for common stockholders after payment of preferred dividends and corporate taxes. (Do not round intermediate calculations. Enter your answer in dollars not millions and round your answer to the nearest whole dollar amount.)Pearls, Inc. had sales in 2015 of $2.1 million. The common stockholders received $600,000 in cash dividends. Interesttotaling $150,000 was paid on outstanding debts. Operating expenses totaled $300,000, and cost of goods sold was$500,000. What is the tax liability of Pearls, Inc.? Corporate tax rates are shown below:Taxable Income Marginal TaxRate$0-$50,000 15%$50,001-$75,000 25%$75,001-$100,000 34%$100,001-$335,000 39%$335,001-$10,000,000 34%$10,000,001-$15,000,000 35%$15,000,001-$18,333,333 38%Over $18,333,333 35%12. What is the purpose of using common size balance sheets and common size income statements?ABC LTD's profit after tax for an accounting period is R12m. The company's issued share capital consists of 50m ordinary shares of 50 cents each and 10m preference shares of R1 each. The preference dividend is R1m. Earnings per share for the period are, 33.3 cents, 20 cents, 44 cents or 22 cents.
