Sounds Co. had 200,000 shares outstanding during 20x1. On April 1, 20x2, Sounds acquired 30,000 shares, and on September 1, 20x2, Sounds issued a 3-for-1 share split. Profits in 20x1 and 20x2 were P410,000 and P350,000, respectively.   Requirement: What amounts should Sounds report as basic earnings per share in its 20x2 and 20x1 comparative statements of profit or loss?

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A: When stock dividend are declared same is accounted for at par value or fair value based on size of…

Q: Hanson Co. issued 10,000 shares of its $5 par common stock for $15 a share. In addition, it incurred…

A: Journal entry for recording issuance of shares is Debit Cash and Credit Common Stock and Credit…

Q: h profit or loss, gers Company shares

A: It includes share capital, share premium and retained earnings

Q: July 3, 20x2, Yami issued 150,000 of its ordinary shares for P1,950,000. A 5% share dividend was…

A: Solution: Working: Date Particulars Ordinary Share (P) paid in capital of excess of par retained…

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A: Earning per share can be calculated by dividing total income after dividend by the number of shares…

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A: Earning per share is a ratio that shows the earing of investors on each share. It's a financial…

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A: Treasury stock represent purchase of own stock by a company. The shares so acquire may be reissued…

Q: Gender Corporation declared and issued a 6% share dividend on December 1. Prior to the declaration,…

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Q: Superior Medical's balance sheet shows total common equity of $1900000. There are 100000 shares…

A: Firm's market value per share, PM = Sale price of the share = $ 58.75Firm's book value per share, PB…

Q: A company has net income of $950,000; its weighted-average common shares outstanding are 190,000.…

A: given   A company has earnings per share net income of $950,000; its weighted-average common shares…

Q: Epic Company earned net income of $900,000 this year. There were 400,000 weighted-average common…

A:

Q: Wildcat Corporation recently disclosed the following financial information: Earnings/revenue:…

A: Book value is a measure of valuation used by investors to know the stock price valuation of the…

Q: A company’s shares have a market value of $85 per share. Its net income is $3,500,000, and its…

A: Price-Earnings ratio: Price-Earnings ratio is a measure of profitability of a firm. In other words,…

Q: Just before Arugone Funeral Homes Inc. issued a 10% share dividend on December 1, the following data…

A: Dividend are the earnings that shall be attributable to shareholders of the company for investment…

Q: At the beginning of the year, Corporation A purchased 8,000 shares of Corporation B's common stock…

A: Trading Securities: Trading securities refer to the securities that are purchased by an organization…

Q: Ecker Company reports $1,800,000 of net income and declares $252,000 of cash dividends on its…

A: Basic earnings per share = Net income available to common stockholders / Weighted average shares of…

Q: On July 1, Stubbs Corporation had 300,000 no-par-value common shares outstanding. On this day the…

A: A Stock Dividend is a corporate action where the board of directors decides to declare a dividend on…

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Q: Assume that Farm Fresh Produce, Inc. has 725,000 shares of common stock outstanding and that the…

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Q: What is the total shareholder return?

A: Total return refers to a method which shows the relationship between the total return and current…

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Q: What amount should Romina Inc. report as dividend income?

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A: Dividend is a portion of a company's profit. Which is paid to shareholders of the company based on…

Q: [The following information applies to the questions displayed below.] The financial statements for…

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A: Retained earnings accounts show the free reserve available for distribution of dividends and issue…

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Q: How much should be debited to Retained Earnings at the time of declaration?

A: The dividend shall be declared and paid as a percentage of the par value of the common stock and it…

Q: On September 1, Ziegler Corporation had 71,000 shares of $5 par value common stock, and $213,000 of…

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Q: The book value per share of common stock of Lawrence Company is $10. The company declares and issues…

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A: Retained earnings are surplus left after paying all operating Expenses, taxes and dividends. It is…

Q: On February 22, Stewart Corporation acquired 7,500 shares of the 265,000 outstanding shares of…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

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.