Green Thumb Nursery has 11,000 shares of stock outstanding at a market price of $18 per share. The current earnings per share are $1.47. The firm has total assets of $286,000 and total liabilities of $86,000. Next week, the firm will be repurchasing $36,000 worth of stock. Ignoring taxes, what will be the earnings per share after the stock repurchase? a) $1.797 b) $1.832 c) $1.848 d) $1.620 e) $1.883 On Jan. 1, XYZ started a new business. The shareholders made an initial cash investment of $1,000,000. During the year, the company provided $10,500,000 of services to customers. On December 31, XYZ had a balance in Accounts Receivable of $1,200,000. Also, during the year, the company incurred expenses of $8,800,000 and ended the year with a balance in Accounts Payable of $920,000. What is XYZ's income before income taxes for the year, under the Cash and Accrual basis? A. Cash Basis: $9,300,000 Accrual Basis: $10,500,000 B. Cash Basis: $1,700,000 Accrual Basis: $1,420,000 C. Cash Basis: $1,420,000 Accrual Basis: $1,700,000 D. Cash Basis: $500,000 Accrual Basis: $2,620,000

Green Thumb Nursery has 11,000 shares of stock outstanding at a market price of $18 per share. The current earnings per share are $1.47. The firm has total assets of $286,000 and total liabilities of $86,000. Next week, the firm will be repurchasing $36,000 worth of stock. Ignoring taxes, what will be the earnings per share after the stock repurchase? a) $1.797 b) $1.832 c) $1.848 d) $1.620 e) $1.883 On Jan. 1, XYZ started a new business. The shareholders made an initial cash investment of $1,000,000. During the year, the company provided $10,500,000 of services to customers. On December 31, XYZ had a balance in Accounts Receivable of $1,200,000. Also, during the year, the company incurred expenses of $8,800,000 and ended the year with a balance in Accounts Payable of $920,000. What is XYZ's income before income taxes for the year, under the Cash and Accrual basis? A. Cash Basis: $9,300,000 Accrual Basis: $10,500,000 B. Cash Basis: $1,700,000 Accrual Basis: $1,420,000 C. Cash Basis: $1,420,000 Accrual Basis: $1,700,000 D. Cash Basis: $500,000 Accrual Basis: $2,620,000

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 55E: Rebert Inc. showed the following balances for last year: Reberts net income for last year was...

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