Question: can someone please answer these so i can double check my work. no explanation needed, just the letter answer 5. Book value per common share
can someone please answer these so i can double check my work. no explanation needed, just the letter answer
5. Book value per common share equals
| a. | total common shareholders equity divided by the number of shares outstanding on the date of the balance sheet. |
| b. | total common shareholders equity divided by the weighted-average number of shares outstanding during the accounting period. |
| c. | total common shareholders equity divided by the number of shares outstanding on the beginning date of the income statement. |
| d. | total shareholders equity divided by the number of shares outstanding on the date of the balance sheet. |
| e. | total shareholders equity divided by the weighted-average number of shares outstanding during the accounting period. |
6. Earnings per share tells the shareholder the amount of
| a. | cash generated per share of common stock. |
| b. | dividends earned by each common shareholder. |
| c. | dividend per share of common stock. |
| d. | income per share as if preferred stock dividends had been paid. |
| e. | income per share as if common and preferred stock dividends had been paid. |
11. The usual entry to record the conversion of convertible bonds or preferred stock into common shares ignores _____ and shows the swap of common shares for bonds or preferred stock at their _____.
| a. | current market prices; carrying value |
| b. | carrying value; current market prices |
| c. | current market prices; par value |
| d. | carrying value; par value |
| e. | present value of future cash flows; current market prices |
49. A firm issues convertible bonds that pay 8% interest and receives $100,000. The firm could have issued nonconvertible bonds that pay 8% interest but would have received only $80,000 in bond proceeds. What journal entry is necessary under GAAP to record the issuance of the convertible bonds?
| a. | Cash 100,000 Convertible Bonds Payable 80,000 Additional Paid-in Capital 20,000 |
| b. | Cash 100,000 Convertible Bonds Payable 80,000 Convertible Bond income 20,000 |
| c. | Cash 100,000 Convertible Bonds Payable 100,000 |
| d. | Convertible Bonds Payable 100,000 Cash 100,000 |
| e. | No entry is required |
53. Jurisdiction-specific corporate laws limit directors freedom to declare dividends. Which of the following is/are true?
| a. | The board may not declare dividends out of capital, that is, debited against the contributed capital accounts, which result from fund-raising transactions with owners. |
| b. | The board must declare them out of earnings by debiting them against the Retained Earnings account, which results from earnings transactions. |
| c. | Capital may mean the par or stated value of outstanding common shares or the total amount paid in by shareholders. |
| d. | Some jurisdictions allow corporations to declare dividends out of the earnings of the current period even if the Retained Earnings account has a debit (negative) balance because of accumulated losses from previous period. |
| e. | all of the above |
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
