share capital, book value per share is computed as: A. Total contributed capital over the total number of shares issued B. Total shareholder's equity over the total number of shares outstanding. C. Total shareholder's equity over the total number of shares issued. D. Total contributed

share capital, book value per share is computed as: A. Total contributed capital over the total number of shares issued B. Total shareholder's equity over the total number of shares outstanding. C. Total shareholder's equity over the total number of shares issued. D. Total contributed

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: These are cumulative profits which are retained in the business and not yet distributed to the…

A: We prepare the following financial statements - Income statement Balance sheet Cash flows statement…

Q: Question 1 What is the accounting treatment of the direct issue costs of shares of stocks? O Debit…

A: Ques 1 Direct issuance cost of shares of stock should be recorded as expense in the income…

Q: The issuer of an ordinary share dividend to ordinary shareholders should transfer from retained…

A: When company issues stock dividend then it should Debit amount of dividend declared to retained…

Q: The charter of a corporation provides for the issuance of 91,724 shares of common stock. Assume that…

A: When shares are reacquired, the dividends are not required to be paid on such stocks.

Q: Enterprises whose ordinary shares and potential ordinary shares are publicly traded are required to…

A: 1)Basic earnings per share for the period. = Earnings available for Common shareholders ÷ Weighted…

Q: When a corporation has only one class of share capital, book value per share is computed as…

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

Q: Which of the following are included in the total contributed capital of a corporation? I. Share…

A: Contributed capital is the amount of the capital which is contributed by the owners of the business.…

Q: Which of the following is ordered from the largest numberof shares to the smallest number of…

Q: Which of the following is entitled to dividends? Total outstanding liability Total authorized…

A: Dividend means the amount given to shareholder of the company as profit distribution by company.…

Q: A corporation shows the following account balances: Retained earnings Treasury stock-common Paid-in…

A: The shareholder's equity records the transactions that affect the capital balance of owners. The…

Q: Which of the following is most likely to have the lowest value in a long-established successful…

A: The financial fundamentals of the company refer to the earnings, share prices, earnings per share,…

Q: The amount of shares that a corporation has sold at some point in time is called

A: Issue of shares is one of the important source of finance that is being used in business. Shares can…

Q: The charter of a corporation provides for the issuance of 95,735 shares of common stock. Assume that…

A: Formulas: Cash dividend = Out standing shares * Dividend per share Cash dividend =(Shares issued -…

Q: The charter of a corporation provides for the issuance of 114,615 shares of common stock. Assume…

A: Note: Dividend is paid on the number of shares issued and outstanding. Number of shares issued and…

Q: Which of the following are included in the total legal capital of a corporation assuming the…

A: Solution: Legal capital means only par/stated value of common stock or preferred stock issued.

Q: . If an entity declares a small share dividend, what amount shall be debited to retained earnings?

A: Solution: There are two type of share dividends as under: 1. Small share dividend (20-25%) 2. Large…

Q: What is the total share capital? 5. What is the retained earnings balance at the end of the year? 6.…

A: The total share capital is calculated as sum of par value and additional paid in capital. The…

Q: What does book value per share measure? Current selling price of stock Amount shareholder would…

A: The book value per share (BVPS) is calculated by taking the ratio of equity available to common…

Q: The value of a share of stock can be found from which of the following equations? a. (Value of the…

A: Equity value is the value of a company available to shareholders

Q: The cash ratio Total asset turnover The profitability of shareholders' equity The ratio of total…

A: If an enterprise issues new common shares to increase its cash and cash equivalents, then the…

Q: The issuer of a 5% common stock dividend to common shareholders should transfer from retained…

A: Stock Dividend - It is a process wherein company distributes the shares to its shareholders rather…

Q: S1: The number of shares issued is the same as the number of shares outstanding S2: Share capital is…

A: Number of shares issued and outstanding can differ due to treasury shares. Treasury shares are not…

Q: The charter of a corporation provides for the issuance of 94,546 shares of common stock. Assume that…

A: Dividend is paid on the shares outstanding. Shares outstanding = 41,432 - 3,112 = 38,320 shares

Q: The declaration of a large share dividend by a corporation will O Increase its share capital O…

A: Dividends are part of profits that are distributed to the shareholders by the company. These…

Q: 17. Identify and explain the different types of retained earnings appropriations.

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

Q: Use the following information for #4 - 5: Motown Corporation has the following transactions: Common…

A: Equity shares holders fund includes common share capital, paid up capital in excess of par value,…

Q: shareholders

A: MC15 A MC 16 B MC17 A MC18 D MC19 D

Q: When a corporation has only one class of share capital, book value per share is computed as * O…

A: 1. Book Value per Share - Book value per share is the value of the firm that the shareholder's would…

Q: The charter of a corporation provides for the issuance of 115,494 shares of common stock. Assume…

A: Lets understand the basics.When share is repurchased after issuance of shares then shares are known…

Q: 1. Outstanding stock 2. Issued stock 3. Authorized stock 4. Paid-in Capital 5. Retained earnings a.…

A: 1-i. Outstanding stock is the shares actually sold.

Q: The charter of a corporation provides for the issuance of 93,872 shares of common stock. Assume that…

A: Dividend will not be paid on reacquired shares.

Q: The charter of a corporation provides for the issuance of 106,898 shares of common stock. Assume…

A: No. of shares issued ansd outstanding = No. of shares originally issued - No. of shares reacquired =…

Q: The par value of ordinary shares is equal to? a. The amount received by the corporation when the…

A: A larger amount of money can be received if the shares are issued at a higher price than par. The…

Q: page 10-1 of the VLN, what is the difference between issued shares and outstanding shares? A.…

A: Issued shares represents the total shares issued by the company Outstanding Shares represents the…

Q: It is the share of profits and retained earnings that a company pays out to its shareholders. * O…

A: Ordinary shares, preference shares and debt capital are three types of sources by which company can…

Q: Authorized registered capital represents a. Number of shares that shareholders have subscribed for…

A: Authorized capital refers to the maximum amount of capital that a company is authorized to issue to…

Q: The charter of a corporation provides for the issuance of 94,560 shares of common stock. Assume that…

A: Total amount of dividends paid = No. of shares outstanding * Dividends per shares

Q: The charter of a corporation provides for the issuance of 108,244 shares of common stock. Assume…

A: Originally issued shares = 44,779 shares (-) Reacquired shares = 4,084 shares Total dividend to be…

Q: outstanding

A: Outstanding shares of a company refer to the company's stock which is held by its shareholders…

Question

1. When a corporation has only one class of share capital, book value per share is computed as:

A. Total contributed capital over the total number of shares issued

B. Total shareholder's equity over the total number of shares outstanding.

C. Total shareholder's equity over the total number of shares issued.

D. Total contributed capital over the total number of shares outstanding

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

A company’s publicly listed shares: a. Can be traded on any share market around the world b. Represent an ownership claim on the company’s real assets (net of liabilities) c. Are guaranteed to provide a dividend cash-flow d. All of the above e. None of the above
Which of the following formulas is correct regarding the different status of shares of stock: authorized shares, issued shares, outstanding shares, and treasury shares? a. Issued - Treasury = Outstanding %3D b. Issued + Treasury - Authorized C. Authorized + Treasury = Issued d. Issued + Outstanding + Treasury Authorized
A company’s assets and shareholders’ equity are most likely to be increased by Share rights exercise Cash dividends Share dividends Share splits
A corporation has the following account balances: Common Stock. $1 par value, $80000; Paid-in Capital in Excess of Par Value, $2710000. Based on this information, the O average price per share issued is $3.49. O number of shares issued is 80000 O number of shares outstanding is 2790000. O legal capital is $2790000.
The charter of a corporation provides for the issuance of 116,962 shares of common stock. Assume that 44,382 shares were originally issued and 3,124 were subsequently reacquired. What is the amount of cash dividends to be paid if a $3 per share dividend is declared? Oa. $123,774 Ob. $9,372 Oc. $133,146 Od. $350,886
Issued shares are the Number of shares that have been distributed to shareholders Total number of shares that can be issued by the corporation at any time Number of shares that are owned by shareholders at the balance sheet date Number of shares the corporation has repurchased Non-cash assets invested into a partnership are recorded at * Zero Their original cost O Their carrying value Their fair market value
Par value of a stock refers to the ________. Dividend to be paid by the corporation Issue price of a stock Value assigned by the incorporation documents Maximum selling price of a stock
of stion Paid-in capital consists of: O b. O c. O d. earnings generated by the corporation. capital raised by issuing bonds. amounts paid by customers. amounts received from stockholders. Bradley Corporation issued 10,000 shares of common stock on 101. par and was
From page 10-2 of the VLN, the common stock account amount is determined Group of answer choices A. Par value x issued shares B. Par value x outstanding shares C. Par value x authorized shares D. Par value x unissued shares
When a corporation has outstanding both common and preferred stock Select one: a. Earnings per share is computed without regard to the amount of dividends declared on common stock. b. Basic and diluted earnings per share are reported only if the preferred stock is cumulative c. Earnings per share is reported for each type of stock outstanding d. Earnings per share is computed without regard to the amount of the annual preferred dividends.