Chapter 11, Problem 11.2EYCT

(a)

To determine

Stockholders’ Equity Section: It is refers to the section of the balance sheet that shows the available balance stockholders’ equity as on reported date at the end of the financial year.

To compute: The percentage of authorized shares issued by Company C at December 31, 2015 and by Company P at December 26, 2015.

(b)

To determine

To identify: The numbers of shares are held as treasury stock by Company C at December 31, 2015 and by Company P at December 26, 2015.

(c)

To determine

To Compute: The number of common shares outstanding for Company C at December 31, 2015, and the number of common shares outstanding for Company P at December 26, 2015.

(d)

To determine

To compute: Earnings per share and return on common stockholders’ equity for Company C and Company P for 2015, and discuss whether these measures can be used to compare its profitability.

(e)

To determine

To identify: The amount of dividends paid by Company P and Company C in 2015.