Kennedy Company issued stock to Ed Kennedy in exchange for his investment of $55,000 cash in the business. The company recorded revenues of $525,000 and expenses of $415,000, and the company paid dividends of $30,000. What was Kennedy's net income for the year?

Kennedy Company issued stock to Ed Kennedy in exchange for his investment of $55,000 cash in the business. The company recorded revenues of $525,000 and expenses of $415,000, and the company paid dividends of $30,000. What was Kennedy's net income for the year?

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 52E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...

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Juroe Company provided the following income statement for last year: Juroes balance sheet as of December 31 last year showed total liabilities of 10,250,000, total equity of 6,150,000, and total assets of 16,400,000. Refer to the information for Juroe Company on the previous page. Also, assume that Juroes total assets at the beginning of last year equaled 17,350,000 and that the tax rate applicable to Juroe is 40%. Required: Note: Round answers to two decimal places. 1. Calculate the average total assets. 2. Calculate the return on assets.
Concord Corp began the year by issuing $113000 of common stock for cash. The company recorded revenues of $123000, expenses of &971000, and paid dividends of $62000. What was concord's net income for the year?
Marilu Company began the year with equity of $75,000. During the year, Marilu issued additional ordinary shares in exchange for cash of $105,000, recorded expenses of $300,000, and paid dividends of $20,000. If Marilu's ending equity was $230,000, what was the company's revenue for the year? a. $350,000. b. $370,000. c. $455,000. d. $475,000. 167.
James Corporation earned net income of $94,000 this year. The company began the year with 500 shares of common stock and issued 400 more on April 1. They issued $5,300 in preferred dividends for the year. What is the EPS for the year for James? Round your answer to the nearest dollar amount.
Bonita Co. invested $910,000 in Windsor Co. for 25% of its outstanding stock. Windsor Co. pays out 30% of net income in dividends each year.Use the information in the following T-account for the investment in Windsor to answer the following questions. Investment in Windsor Co. 910,000 99,000 29,700 (a) How much was Bonita Co.’s share of Windsor Co.’s net income for the year? Net income $enter Bonita’s net income in dollars (b) What was Windsor Co.’s total net income for the year? Total net income $enter the total net income of WindsorCo. for the year (c) What was Windsor Co.’s total dividends for the year? Total Dividends $enter the total dividends of WindsorCo. for the year (d) How much was Bonita Co.’s share of Windsor Co.’s dividends for the year? Dividends $enter the dollar amount of dividends for Bonita Co.
As a stockholder of Bozo Oil Company, you receive its annual report. In the financial statements, the firm has reported assets of $16 million, liabilities of $11 million, after-tax earnings of $2.35 million, and 1.60 million outstanding shares of common stock. Calculate the earnings per share of Bozo Oil’s common stock. Note: Round your answer to 2 decimal places. Assuming a share of Bozo Oil’s common stock has a market value of $40, what is the firm’s price-earnings ratio? Note: Round your intermediate calculation to 2 decimal places and final answer to the nearest whole number. Calculate the book value of a share of Bozo Oil’s common stock. Note: Round your answer to 2 decimal places.
Gympa reported on its income statement a net income $647,000 for the year ended December 31 before considering the following: a. During the year, Gympa purchased trading securities b. At year-end , the fair value of the investment portfolio was $50,000 lesshan the cost c. The balance of Retained Earnings was $792,000 on January 1 d. Gympa paid $67,000 in cash dividends during the year. Using the above data, calculate the balance of Retained Earnings on Decemeber 31.
The income statement for Dodson Corporation reported net income of $22,400 for the year ended December 31 before considering the following: During the year the company purchased available-for-sale securities. At year end, the fair value of the investment portfolio was $2,100 more than cost. The balance of Retained Earnings was $83,000 on January 1. . Dodson Corporation paid $9,000 in cash dividends during the year. Calculate the balance of Retained Earnings on December 31. 51,600
The following transactions occurred last year at Jost Company: Issuance of shares of the company’s own common stock $170,000 ; Dividends paid to the company’s own shareholders $7,000; Dividends received from investments in other companies’ shares $4,000; Interest paid on the company’s own bonds $11,000; Repayment of principal on the company’s own bonds $40,000; Proceeds from sale of the company’s used equipment $23,000; Purchase of land $120,000 . Based solely on the above information, the net cash provided by financing activities for the year on the statement of cash flows would be: a.$112,000 b. $123,000 c. $375,000 d. $19,000
Wildhorse Inc. had these transactions pertaining to investments in common stock: Jan. 1 July 1 Purchased 1,240 shares of Gate Corporation common stock (5% of outstanding shares) for $62,000 cash. Received a cash dividend of $7 per share. Dec. 1 Sold 930 shares of Gate Corporation common stock for $48,360 cash. 31 Received a cash dividend of $7 per share. Journalize the transactions. (Credit account titles are automatically indented when the 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. Do not round intermediate values. Round final answers to O decimal places, e.g. 5,275.) Date L Account Titles and Explanation eTextbook and Media Debit Credit
As of the beginning of the year, Devers, Inc. acquired common stock of Verdugo Limited at book value. During the current year, Verdugo earned $12.5 million and declared dividends of $4 million. Indicate the amount shown for Investment in Verdugo on Devers Inc.’s balance sheet on December 31 and the amount of total income Devers would report on the income statement for the year related to its investment under the assumption that Devers did the following: A. Paid $2 million for a 10-percent interest in Verdugo and classifies the investment as a passive investment. The fair value of the investment at December 31st was now $2.3 million. B. Paid $7 million for a 35-percent interest in Verdugo and uses the equity method. The fair value of the investment at December 31st was now $7.3 million. Please dont provide handwritten or image based answers thank you
Longmont Corporation earned net income of $86,000 this year. The company began the year with 600 shares of common stock and issued 500 more on April 1. They issued $5,400 in preferred dividends for the year. What is the numerator of the EPS calculation for Longmont?