The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 2017, 2016, and 2015:*December 31 December 31 December 3120Y720Y62015Total assets$259,000$233,000$207,000Notes payable (8% interest)90,00090,00090,000Common stock36,00036,00036,000 -Preferred 6% stock, $100 par(no change during year)18,00018,00018,000Retained earnings102,32068,12054,000The 2017 net income was $35,280, and the 20Y6 net income was $15,200. No dividends on common stock were declared between 2005 and 20Y7. Preferred dividendswere declared and paid in full in 20Y6 and 2017.a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 2016 and 2017. Whenrequired, round your answers to one decimal place.Return on total assetsReturn on stockholders' equityReturn on common stockholders' equity201720Y617.3%10.225.3 %13.2 %21.7 X %6.4 X %✓. Since the return on assets is less thanthe return on stockholders'b. The profitability ratios indicate that the company's profitability has improvedequity in both years, there must be positiveleverage from the use of debt.

a) Calculation of Return on Total Assets, Return on Stockholder's Equity and Return on Common…

Answered: The following selected data were taken…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Presented below are data for Caracas Corp. 2017 2018 Assets, January 1 $6,840 ? Liabilities, January 1 ? $4,104 Stockholders' Equity, Jan. 1 ? $4,125 Dividends 855 969 Common Stock 912 975 Stockholders' Equity, Dec. 31 ? 3,399 Net Income 1,026 ? Net income for 2018 is... $243 loss. $726 income. $180 income. $726 loss. Please show work.
Divac Company has developed a statement of stockholders' equity for the year 2017 as follows: Preferred Stock Paid-InCapital—Preferred Common Stock Paid-InCapital—Common Retained Earnings Balance, Jan. 1 $100,000 $50,000 $400,000 $40,000 $200,000 Stock issued 100,000 10,000 Net income 87,000 Cash dividend -45,000 Stock dividend 10,000 5,000 -15,000 Balance, Dec. 31 $110,000 $55,000 $500,000 $50,000 $227,000 Divac’s preferred stock is $100 par, 8% stock. If the stock is liquidated or redeemed, stockholders are entitled to $120 per share. There are no dividends in arrears on the stock. The common stock has a par value of $5 per share. Assume that the common stockholders have a right to the total net income of $87,000. Determine the book value per share of Divac’s common stock. Round the book value per share to two decimals.$fill in the blank_____ per share
Belltower, Inc. has net income for 2016 of $370,000. At January 1, 2016, the company had outstanding 54,000 shares of $50 par value common stock and 10,000 shares of 6%, $100 par value cumulative preferred stock. On September 1, 2016, an additional 18,000 shares of common stock were issued.What is the earnings per share for 2016 (to the nearest cent)? Question 14 options: A) $4.44 B) $6.17 C) $4.31 D) $5.17
Balance Sheet of Do Well Ltd. As on 31st March, 2016 was as follows: 1. Equity and Liabilities (1) Shareholders' Funds (a) Share Capital: Equity Shares @ $10 each 2,00,000 (Ь) Reserves and Surplus : Surplus Account 1,20,000 (2) Non-current Liabilities 6% Debentures 1,20,000 (2) Current Liabilities Creditors 60,000 Proposed Dividend 20,000 Total Equity and Liabilities 5,20,000 II. Assets (1) Non-current Assets Fixed Assets : Freehold Property 1,00,000 (2) Current Assets Stock 1,20,000 Debtors 80,000 Balance at Bank 2,20,000 Total Assets 5,20,000 At the annual general meeting held on 18th April, 2016 it was resolved: (i) To declare dividend of 10% for the accounting year ended on 31st March, 2016. (ii) To issue one bonus share for every 4 shares held out of Surplus Account. (iii) To give existing shareholders the option to purchase for cash one share for $15 for every 4 shares held prior to the bonus distribution. This option was accepted by all the shareholders. (On this no bonus share…
Assume the following is the stockholders' equity section from Altria's 2016 balance sheet. December 31 ($ millions) 2016 $ 935 Common stock, par value $0.33 1/3 per share (2,805,961,317 shares issued).... Additional paid-in capital. Earnings reinvested in the business Accumulated other comprehensive losses (including currency translation of $1,317 in 2016). 6,061 54,666 Cost of repurchased stock (721,696,918 shares in 2016), Total stockholders' equity.. (1,853) (24.102) $35,707 At what average price has Altria issued its common stock? a. $ 2.49 b. $ 0.33 c. $12.73 d. $33.40
Payout Ratio and Book Value per Share Divac Company has developed a statement of stockholders' equity for the year 2017 as follows: Preferred Stock Paid-InCapital—Preferred Common Stock Paid-InCapital—Common Retained Earnings Balance, Jan. 1 $100,000 $50,000 $400,000 $40,000 $200,000 Stock issued 100,000 10,000 Net income 68,000 Cash dividend -32,000 Stock dividend 10,000 5,000 -15,000 Balance, Dec. 31 $110,000 $55,000 $500,000 $50,000 $221,000 Divac’s preferred stock is $100 par, 8% stock. If the stock is liquidated or redeemed, stockholders are entitled to $120 per share. There are no dividends in arrears on the stock. The common stock has a par value of $4 per share. Assume that the common stockholders have a right to the total net income of $68,000. Required: 1. Determine the dividend payout ratio for the common stock. Round the payout ratio to four decimal places, but enter as a percentage to two decimal places. For example, .34678…
On its Form 10-K for the year ended December 31, 2016, Ameri Bank Corp. reported information related to basic earnings per share.Fill in the missing information. Rounding instruction: Round answer a. to two decimal places.Round answer b., c., & d. to the nearest million.Round answer e. to three decimal places. $ millions, except per share amounts 2015 2014 2013 Net income $17,287 $4,833 d. Answer Preferred stock dividends $1,483 b. Answer $1,349 Net income applicable to common shareholders $15,804 c. Answer $9,993 Average common shares outstanding 10,462.282 10,527.818 e. Answer Basic earnings per share a. Answer $0.34 $0.94
Bonita Corporation had net income of $1,950,000 and paid dividends to common stockholders of $323,700 in 2017. The weighted average number of shares outstanding in 2017 was 500,000 shares. Bonita Corporation's common stock is selling for $45 per share on the NASDAQ. Bonita Corporation's payout ratio for 2017 is? A. $3.9 per share. B. 13.6%. C. 16.6%. D. 9.7%.
Below is the financial data for Arla Inc. for the year ended December 31, 2020: Market price per share... Net Income...... $150.00 $1,750,000 Preferred Dividends declared... $75,000 Average # of common shares....... Dividends per share...... Average common shareholders' equity..... Total assets..... Total Liabilities... Accumulated Other Comprehensive Income..... 100,000 $2.50 10,000,000 $22,500,000 $11,675,000 $185,000 Instructions Calculate the Return on shareholders' equity (use up to 2 decimal places and do not include a % sign)
Below is given the Balance Sheet of Best Ltd. as on 30th June, 2015. I. Equity and Liabilities (1) Shareholders' Funds (a) Share Capital : Equity Share Capital 20,00,000 7% Preference Share Capital 10,00,000 (b) Reserves and Surplus : General Reserve (2) Non-current Liabilities 6% Debentures 4,00,000 6,00,000 (3) Current Liabilities Sundry Creditors 10,00,000 Total Equity and Liabilities 50,00,000 П. Аssets (1) Non-current Assets Fixed Assets at Cost Less : Depreciation Written off 50,00,000 16,00,000 34,00,000 (2) Current Assets Stock Debtors Cash 6,00,000 8,00,000 2,00,000 Total Assets 50,00,000 Following information is available : (i) Fixed assets costing $ 10,00,000 to be installed on 1st July, 2015, would become operative on that date, payment to be made on 30th June, 2016. (ii) The fixed assets-turnover ratio (on the cost of the fixed assets) would be 1.5. The stock-turnover ratio would be 14.4 (calculated on the basis of the average of the opening and closing stocks). The…
Triumph's has 40,000 common shares outstanding during 2018. Requirement 1. Compute earnings per share (EPS) for 2018 for Triumph's. Round to the nearest cent. Requirement 2. Compute Triumph's Companies' price/earnings ratio for 2018. The market price per share of Triumph's stock is $15.00. Triumph's Companies Income Statement Years Ended May 31, 2018 and 2017 2018 2017 Net Sales Revenue $42,400 $41,100 Cost of Goods Sold 22,500 29,300 Interest Expense 400 320 All Other Expenses 6,700 7,800 Net Income $12,800 $3,680 Triumph's Companies Balance Sheet May 31, 2018 and 2017 Assets Liabilities 2018 2017 2018…

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