Exercise 11-5:

Exercise 11-2 Part 1:

Exercise 11-2 Part 2:

Lo3 Exercise 11-6 Stock Issuance 11-1 The following transactions are for Weber Corporation in 2017: a. On March 1 , the corporation was organized and received authorization to issue 5,000 shares of 8%,$100 par value preferred stock and 2,000,000 shares of \$10 par value common stock. b. On March 10, Weber issued 5,000 shares of common stock at $35 per share. c. On March 18, Weber issued 100 shares of preferred stock at $120 per share. d. On April 12, Weber issued another 10,000 shares of common stock at $45 per share. Required Develop the Stockholders' Equity category of Peeler's balance sheet as of December 31, 2017. Indicate on the statement the number of shares authorized, issued, and outstanding for both preferred and common stock. Problem 11-2 Evaluating Alternative Investments Ellen Hays received a windfall from one of her investments. She would like to invest $100,000 of the money in Linwood Inc., which is offering common stock, preferred stock, and bonds on the open market. The common stock has paid $8 per share in dividends for the past three years, and the company expects to be able to perform as well in the current year. The current market price (Continued) Chapter 11 Stockholders' Equity of the common stock is $100 per share. The preferred stock has an 8% dividend rate, cumulative and nonparticipating. The bonds are selling at par with an 8% stated rate. Required 1. What are the advantages and disadvantages of each type of investment? 2. Recommend one type of investment over the others to Ellen and justify your reason. O5 Problem 11-3 Dividends for Preferred and Common Stock The Stnckholders' Equity category of Greenbaum Comnany's balance sheet as of December 31