Dividends on Preferred and Common StockPecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre has declared the following annual dividends over asix-year period: 20Y1, $36,000; 20Y2, $72,000; 20Y3, $162,000; 20Y4, $207,000; 20Y5, $261,000; and 20Y6, $315,000. During the entire periodended December 31 of each year, the outstanding stock of the company was composed of 30,000 shares of cumulative, preferred 3% stock, $100 par,and 100,000 shares of common stock, $10 par.Required:1. Determine the total dividends and the per-share dividends declared on each class of stock for each of the six years. There were no dividends inarrears at the beginning of 20Y1. Summarize the data in tabular form. If reguired, round your per share answers to two decimal places. If the amount iszero, please enter "0".Preferred DividendsCommon DividendsTotalDividendsYearTotalPer ShareTotalPer Share20Y1$36,0003,600 X1.2 V0.241.2 X20Y272,00072,0002.42.4 X20Y3162,000162,0005.45.4X20Y4207,0009,000 X3 x13117,00020Y5261,0009,000 X3 x3 x171,00020Y6315,0009,000225,0006的%24%24%24 -ంశాస +3. Assuming a market price per share of $143 for the preferred stock and $16 for the common stock, determine the average annual percentage returnon initial shareholders' investment, based on the average annual dividend per share (a) for preferred stock and (b) for common stock.Round your answers to two decimal places.Preferred stock2.098 X %Common stock5.34FeedbackCheck My Work1. Is the preferred stock cumulative or non-cumulative? How will the preferred stock being cumulative or non-cumulative affect the distribution of dividends?Determine what amount of current dividends the preferred stock should receive per year. Recall the definition of dividends "in arrears".How much in dividends would each share of preferred stock receive each year? How much in dividends would each share of common stock receive each year?Pem embor orO

The average annual percentage return is calculated by dividing the average annual dividend by the…

Answered: Pecan Theatre Inc. owns and operates…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Shamrock Co. had purchased 230 shares of Washington Co. for $37 each this year (Oregon Co. does not have significant influence). Shamrock Co. sold 100 shares of Washington Co. stock for $41 each. At year-end, the price per share of the Washington Co. stock had dropped to $31. Prepare the journal entries for these transactions and any year-end adjustments. (List all debit entries before credit entries. 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.) No. Account Titles and Explanation Debit Credit 1. 2. 3.
For the year ended December 31, 2023, Oriole Corporation had income before taxes and discontinued operations of $1,080,000. During the year, Oriole disposed of one of its business segments for a gain of $320,000 before tax. Oriole had 50,000 common shares outstanding during the year. The company was subject to a 35% income tax rate. Prepare the income statement for Oriole Corporation, beginning with the line "Income from continuing operations before income tax." (Round earnings per share values to 2 decimal places, e.g. 15.25.) Basic Earnings per share: ORIOLE Corporation Partial Income Statement < LA GA $ GA $
Pecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre has declared the following annual dividends over a six-year period: Year 1, $80,000; Year 2, $90,000; Year 3, $150,000; Year 4, $150,000; Year 5, $160,000; and Year 6, $180,000. During the entire period ended December 31 of each year, the outstand- ing stock of the company was composed of 250,000 shares of cumulative, preferred 2% stock, $20 par, and 500,000 shares of common stock, $15 par. Instructions 1. Determine the total dividends and the per-share dividends declared on each class of stock for each of the six years. There were no dividends in arrears at the beginning of Year 1. Summarize the data in tabular form, using the following column headings: Preferred Dividends Common Dividends Total Dividends Per Share Year Total Per Share Total $ 80,000 Year 1 Year 2 90,000 150,000 Year 3 150,000 Year 4 Year 5 160,000 Year 6 180,000 2. Determine the average annual dividend per share for each…
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applies to the questions displayed below.] Lone Star Company is a calendar-year corporation, and this year Lone Star reported $104,000 in current E&P that accrued evenly throughout the year. At the beginning of the year, Lone Star's accumulated E&P was $12,480. Lone Star declared $31,200 in cash distributions on each of the following dates: April 1, July 1, October 1, and December 31. Note: Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign. b. Suppose that Matt owned all Lone Star's shares at the beginning of the year and sold half of the shares to Chris on June 1st for $41,600. How much dividend income will Matt recognize this year? Answer is complete but not entirely correct. Dividend recognized $ 166,400 X
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Richardson Company reported pretax income from continuing operations in the first six months of the current year in the amount of $100,000. Projected pretax operating income for the balance of the year is $110,000.Estimates of annual income include income from municipal bonds in the amount of $5,000 that will never be subject to income tax. Furthermore, it is anticipated that $8,000 of tax credits will be available during the year.During the third quarter of the current year, the company changed accounting principles that after retrospective application, resulted in pretax income for the first six months increasing by $20,000 and projections for the balance of the year increasing by $25,000. During the third quarter of the current year, the company experienced pretax operating income of $80,000 and projected a pretax operating income of $20,000 for the fourth quarter. At the end of the third quarter, the company estimated that annual income from municipal bonds would be $4,000 and the…
Pecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre has declared the following annual dividends over a six-year period: 20Y1, $48,000; 20Y2, $96,000; 20Y3, $216,000; 2014, $276,000; 20Y5, $336,000; and 20Y6, $432,000. During the entire period ended December 31 of each year, the outstanding stock of the company was composed of 30,000 shares of cumulative, preferred 4 % stock, $100 par, and 100,000 shares of common stock, $20 par. Required: 1. Determine the total dividends and the per-share dividends declared on each class of stock for each of the six years. There were no dividends in arrears at the beginning of 20Y1. Summarize the data in tabular form. If required, round your per share answers to two decimal places. If the amount is zero, please enter "0". Year 20Y1 2012 2013 20Y4 20Y5 20Y6 Total Dividends $ 48,000 96,000 216,000 276,000 336,000 432,000 Preferred Dividends Total 48,000 ✓ 96,000 ✓ 216,000 ✓ Per Share 1.6 ✔ 3.2 7.2 Common…
Pecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre has declared the following annual dividends over a six-year period: 2OY1, $36,000; 20Y2, $72,000; 20Y3, $162,000; 20Y4, $207,000; 20Y5, $261,000; and 20Y6, $315,000. During the entire period ended December 31 of each year, the outstanding stock of the company was composed of 30,000 shares of cumulative, preferred 3% stock, $100 par, and 100,000 shares of common stock, $10 par. Dividends on Preferred and Common Stock Required: 1. Determine the total dividends and the per-share dividends declared on each class of stock for each of the six years. There were no dividends in arrears at the beginning of 20Y1. Summarize the data in tabular form. If required, round your per share answers to two decimal places. If the amount is zero, please enter "0". Common Dividends Preferred Dividends Total Total Per Share Total Per Share Year Dividends 20Υ1 $36,000 20Y2 72,000 20Y3 162,000 Accounting numeric…
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