A company had a beginning balance in retained earnings of $51,550. It had net income of $6,950 and paid out cash dividends of $6,575 in the current period. The ending balance in retained earnings account is equal to:
$51,925
A company has a market value per share of $ 44.25. Its net income is $ 3,375,000 and the weighted-average number of shares outstanding is 450,000. The company's price-earnings ratio is equal to:
5.9
A company issued 155 shares of $100 par value stock for $35,500 cash. The total amount of contributed capital is:
$35,500
A company's board of directors votes to declare a cash dividend of $.75 per share. The company has 25,000 shares authorized, 23,000 issued, and 20,700 shares outstanding. The total amount of the cash dividend is:
$15,525
The following data regarding its common stock were reported by a corporation:
Authorized shares 20,000
Issued shares 13,000
Treasury shares 2,600
The number of outstanding shares is:
10,400
Earnings per share is the amount of income earned per share of a company's outstanding (weighted-average) common stock.
True
The costs of bringing a corporation into existence, including legal fees, promoter fees, and amounts paid to obtain a charter, are called:
Organization costs
Stockholders' equity consists of:
Contributed capital and retained earnings.
A dividend preference for preferred stock means that:
Preferred stockholders receive their dividends before common shareholders.
A corporation was formed on January 1. The corporate charter authorized 100,000 shares of $10 par value common stock. During the first month of operation, the corporation issued 300 shares to its attorneys in payment of a $5,000 charge for drawing up the
A debit to Organization Expenses for $5,000.
A corporation issued 6,000 shares of its $10 par value common stock in exchange for land that has a market value of $84,000. The entry to record this transaction would include:
A credit to Contributed Capital in Excess of Par Value, Common Stock for $24,000.
Prior period adjustments are reported in the:
Statement of retained earnings.