You are considering an investment in Brookside Cafe Inc. During the last year, the firm's income statement listed an addition to retained earnings of $10.50 million and common stock dividends of $2.20 million. Brookside's year-end balance sheet shows common stockholders' equity of $40 million with 8 million shares of common stock outstanding. The common stock's market price per share was $10.50. a. What is Brookside Cafe Inc.'s book value per share? b. What is Brookside Cafe Inc.'s earnings per share?

You are considering an investment in Brookside Cafe Inc. During the last year, the firm's income statement listed an addition to retained earnings of $10.50 million and common stock dividends of $2.20 million. Brookside's year-end balance sheet shows common stockholders' equity of $40 million with 8 million shares of common stock outstanding. The common stock's market price per share was $10.50. a. What is Brookside Cafe Inc.'s book value per share? b. What is Brookside Cafe Inc.'s earnings per share?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 21EB: Brunleigh Corporation earned net income of $200,000 this year. The company began the year with...

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Brunleigh Corporation earned net income of $200,000 this year. The company began the year with 10,000 shares of common stock and issued 5,000 more on April 1. They issued $7,500 in preferred dividends for the year. What is Brunleigh Corporations weighted average number of shares for the year?
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