Forecast Year 2. 4 Terminal No. of outstanding shares. Terminsi year growih raie Cost of eguity 500 500 500 500 500 500 59/

Q: To record newly issued stock shares upon conversion of debt, managers most often choose the method…

A: The capital structure of a corporation refers to the mix of debt and equity that it uses to fund its…

Q: Define cost of common stock

A: Cost of equity: It is the return a firm ought to decide in case investment satisfies the criteria of…

Q: A stock's capital gains are equal to its dividend divided by the stock price. OA. True OB. False

A: The required rate of return on a stock measures the rate of return desired by the investors in the…

Q: stockholders of a portion of their original investments is a

A: Property dividend is when a company pays dividend to its shareholders in the form of assets.…

Q: What does the additional paid-in capital account represent? a) The difference between the par and…

A: When a company issues fresh shares for a price more than the par value of a share, excess amount is…

Q: Describe the accounting entry for a stock dividend, if any.Describe the accounting entry for a stock…

A: Stock dividend declaration has two type. Declaration of stock dividend more than 30% represents…

Q: Do i divide the net income by both common sto

A: Earnings per share is the per-share amount earned by the common shares of the entity. It is…

Q: When treasury stock is purchased for more par value of the stock and the cost method is used to…

A: Hi student Since there are multiple questions, we will answer only first question.

Q: An alternative way to value shares is using “relative valuations”. Explain in detail, with a…

A: Relative valuation is a vital valuation method used by analysts and financial managers. It has been…

Q: If shares have been sold above the nominal value what does this mean and why?

A: Nominal value is the par value or face value of share which is assigned to the share and at which…

Q: The return on equity is calculated using which of the following formulas? Multiple Cholce Net Income…

A: The ratio analysis helps to analyse the financial statements of the business.

Q: what formulas do you use to calculate: -weights of debt, preferred stock, and common stock using the…

A: a) Book Value of debt = Long term debt + Notes Payable + Current portion of long term debt Book…

Q: Define stock dividend.

A:

Q: Which type of stock pays a fixed dividend? A. common B. preferred C. debenture D. convertible

A: Introduction:- Shares are mainly classified into two types. Preference shares:- This type of share…

Q: Describe what is meant by the weighted-average number of common shares.

A: Weighted average shares outstanding refers to the number of shares of a company calculated after…

Q: Describe how cumulative preferred stock differs from noncumulative preferred stock. How is a…

A: Cumulative preferred stock is a type of preferred stock with a provision that stipulates that if any…

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.