which filed its financial statements almost two weeks prior to the short-selling spree, Koss Corporation filed its financialstatements on the same day its stock price reached an all-time high (January 29, 2021). This timing allows us to cleanlycompare stock price to book value per share. The accompanying graph presents per-share stock prices and book valueson Koss's financial statement release dates over a 6.5-year period. As shown in the graph, book value provides a morestable and conservative measure of value than stock price. Book value is a conservative measure because it is primarilybased on past transactions and events that have directly affected the company.$ 70.00$ 60.00$ 50.00$ 40.00$ 30.00$ 20.00$ 10.00$ 0.00(a)(b)Aug. 28,2015Koss Corporation (KOSS)Aug. 25, Aug. 25, Aug. 23,2016 2017 2018Closing Stock Price per ShareAug. 30,2019Aug. 27,2020-Book Value per Share¹Caplinger, D. "Yes, a stock can have short interest over 100% -- Here's how." The Motley Fool, 28 Jan. 2021, www.fool.com/investing/2021/01/28/yes-a-stock-can-have-short-interest-over-100-heres/. Accessed 3 Feb. 2021.2u/player896. "Bankrupting Institutional Investors for Dummies, ft GameStop." Reddit, 19 Sept. 2020,a. Book value (per share)b. Book value (per share)www.reddit.com/r/wallstreetbets/comments/ivs6dw/bankrupting_institutional_investors_for_dummies/. Accessed 3 Feb. 2021.3Robertson, H. "Short-sellers are nursing estimated losses of $19 billion in 2021 after better on GameStop's stock to plunge." Business Insider, 30 Jan. 2021,markets.businessinsider.com/news/stocks/short-sellers-sitting-on-19-billion-of-losses-on-gamestop-data-shows-2021-1-1030020684. Accessed 3 Feb. 2021.CE1-4 Calculating Per-Share Book Value [LO1-3]Total Assets$ 6,000,000$ 2,500,000For each of the following, calculate the book value (per share) expressed in dollars and cents (Rounded to two decimal places.)Total OutstandingTotal Stockholders'EquityShares$ 2,000,000unknown1,000,000200,000Jan. 29,2021Total Liabilitiesunknown$ 1,500,000

A financial indicator called book value per share shows how much equity a business has for each…

Answered: For each of the following, calculate…

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter13: Corporations: Organization, Stock Transactions, And Dividends

Section: Chapter Questions

Problem 4CP

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Sycip was tasked to analyze the earnings performance of Alamo Transport Corporation. The following data were gathered from Alamo's financial statements and from a report of the closing market prices of shares: Profit for 2020 6,643,000 Preference dividends declared during 2020 600,000 Ordinary dividends declared Dec 31, 2020 2,620,000 Number of Alamo ordinary shares outstanding: 01-Jan-20 1,500,000shares 31-Dec-20 1,600,000shares Market price per ordinary share on Dec 31, 150 2015 Calculate the following ratios relating to the Alamo share: 1. Basic earnings per ordinary share 2. Price-earnings ratio I
Templet Corp. earned net income of $118,400 and paid the minimum dividend to preferred stockholders for 2024. Assume that there are no changes in common shares outstanding during 2024. Templet's books include the following figures: (Click the icon to view the figures.) Read the requirements. ..... Requirement 1. Compute Templet's EPS for the year. Select the formula, then enter the amounts to calculate the company's earnings per share for 2024. (Abbreviations used: Ave. = average, OS = outstanding, SE = stockholders' equity, shrs = shares. Enter the earnings per share to the nearest cent.) Earnings per share %3D %3D Data table Requirements Preferred Stock-4%, $35 par value; 2,000 shares authorized, 1,000 shares issued and outstanding 35,000 Common Stock-$10 par value; 95,000 shares authorized, 53,000 shares issued, 52,000 shares outstanding 530,000 1. Compute Templet's EPS (Earnings Per Share) for the year. 2. Assume Templet's market price of a share of common stock is $9 per share.…
In 2021, Southwestern Corporation completed the treasury stock transactions listed below. February 2: Reacquired 61, 000 shares at $11.10. 17: Sold 11, 000 shares at $13.55. 17: Sold 16, 000 shares at $7.55,. March May Southwestern had issued 100,000 shares of its $1 par common stock for $10 several months ago. Required: Prepare the journal entries to record the above transactions, using the cost method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 42 View transaction list Journal entry worksheet 3 Sold 16,000 shares at $7.55. Note: Enter debits before credits.
In 2021, Southwestern Corporation completed the treasury stock transactions listed below. February 2: Reacquired 74,000 shares at $12.40. March 17: Sold 24,000 shares at $14.20. May 17: Sold 29,000 shares at $8.20. Southwestern had issued 100,000 shares of its $1 par common stock for $10 several months ago.Required:Prepare the journal entries to record the above transactions, using the cost method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
On January 1, 2020, Ivanhoe Corporation had $1,470,000 of common stock outstanding that was issued at par. It also had retained earnings of $741,500. The company issued 41,500 shares of common stock at par on July 1 and earned net income of $400,000 for the year.Journalize the declaration of a 15% stock dividend on December 10, 2020, for the following independent assumptions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) a. Par value is $10, and market price is $18. b. Par value is $5, and market price is $21.
Listed here are data for five companies. These data are for the companies' 2019 fiscal years. The market price per share is the closing price of the companies' stock the day after they announced their 2019 earnings. Except for market price per share, all amounts are in millions. The shares outstanding number is the weighted-average number of shares the company used to compute basic earnings per share. Note that the numbers for Mountainview Investments are significantly different that the other companies. For example, the number for its shares outstanding includes a decimal, not a comma. Its shares outstanding are about are 1.6 million, not 1.6 billion. Company Nile.com Mountainview Investments Big Oil Soda Fizz Incorporated Ringer Corporation Net Earnings $12,495 82,355 15,280 8,255 6,088 Company Stockholders' Shares Market Price Equity Outstanding per Share $62,998 1,415 $2,006.00 429,386 1.652 Nile.com Mountainview Investments Big Oil Soda Fizz Incorporated Ringer Corporation 199,674…
Lyon Company shows the following condensed income statement information for the year ended December 31, 2019: Lyon declared dividends of 6,000 on preferred stock and 17,280 on common stock. At the beginning of 2019, 10,000 shares of common stock were outstanding. On May 1, 2019, the company issued 2,000 additional common shares, and on October 31, 2019, it issued a 20% stock dividend on its common stock. The preferred stock is not convertible. Required: 1. Compute the 2019 basic earnings per share. 2. Show the 2019 income statement disclosure of basic earnings per share. 3. Draft a related note to accompany the 2019 financial statements.
Bramble Corp. had net income for 2021 of $598000. The average number of shares outstanding for the period was 200000 shares. The average number of shares under outstanding options, at an option price of $30 per share is 11700 shares. The average market price of the common stock during the year was $36. What should Bramble Corp. report for diluted earnings per share for the year ended 2021?
On January 1, 2022, Cullumber Corporation had $1,125,000 of common stock outstanding that was issued at par. It also had retained earnings of $746,500. The company issued 40,000 shares of common stock at par on July 1 and earned net income of $410,000 for the year. Journalize the declaration of a 16% stock dividend on December 10, 2022, for the following independent assumptions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts) a. b. No. Account Titles and Explanation a. Par value is $10, and market price is $19. Par value is $5, and market price is $20. b. Debit Credit
The following account balances relate to the stockholders’ equity accounts of Bonita Corp. at year-end. A small stock dividend was declared and issued in 2022. The market price of the shares issed was $10,500. Cash dividends of $16,300 were declared and paid in both 2022 and 2021. The common stock and preferred stock have no par or stated value. What was the amount of net income reported by Bonita Corp. in 2022? Determine the amounts of any cash inflows or outflows related to the common stock and dividend accounts in 2022. Common stock Dividends Indicate where each of the cash inflows or outflows identified in (b) would be classified on the statement of cash flows. Common Stock Dividends
In 2021, Southwestern Corporation completed the treasury stock transactions listed below. February 2: Reacquired 71,000 shares at $12.10. March 17: Sold 21,000 shares at $14.05. May 17: Sold 26,000 shares at $8.05. Southwestern had issued 100,000 shares of its $1 par common stock for $10 several months ago.Required:Prepare the journal entries to record the above transactions, using the cost method.
s Listed here are data for five companies. These data are for the companies' 2019 fiscal years. The market price per share is the closing price of the companies' stock the day after they announced their 2019 earnings. Except for market price per share, all amounts are in millions. The shares outstanding number is the weighted-average number of shares the company used to compute basic earnings per share. Note that the numbers for Mountainview Investments are significantly different that the other companies. For example, the number for its shares outstanding includes a decimal, not a comma. Its shares outstanding are about are 1.6 million, not 1.6 billion. Company Nile.com Mountainview Investments Big Oil Soda Fizz Incorporated. Ringer Corporation Company Nile.com Mountainview Investments Big Oil Soda Fizz Incorporated Ringer Corporation $ Net Earnings $12,030 82,017 14,829 7,926 5,781 EPS Required a. Compute the earnings per share (EPS) for each company. b. Compute the P/E ratio for…

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