Question 271
An analyst has gathered the following information about a company:
110,000 shares of common outstanding at the beginning of the year.
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The company repurchases 20,000 of its own common shares on July 1.
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Earnings are $300,000 for the year.
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10,000 shares of existing 10 percent cumulative $100 par preferred outstanding that is not in
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arrears at the beginning or ending of the year.The company also has $1 million in 10 percent callable bonds outstanding.
The company has declared a $0.50 dividend on the common.
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What is the company's basic Earnings per Share?
110,000 shares of common outstanding at the beginning of the year.
*
The company repurchases 20,000 of its own common shares on July 1.
*
Earnings are $300,000 for the year.
*
10,000 shares of existing 10 percent cumulative $100 par preferred outstanding that is not in
*
arrears at the beginning or ending of the year.The company also has $1 million in 10 percent callable bonds outstanding.
The company has declared a $0.50 dividend on the common.
*
What is the company's basic Earnings per Share?
Question 272
Date Quantity Per Unit Total Cost Jan 1, Beginning Inventory 100 $18.00 $ 1,800.00 Mar 4, Purchase
4 00 19.00 7,600.00 May 8, Purchase 800 18.25 14,600.00 Nov 3, Purchase 500 20.40 10,200.00
Merchandise Available 1,800 34,200.00
Five hundred units are unsold. Using the average cost method under a periodic inventory system, how much is the cost assigned to the ending merchandise inventory?
4 00 19.00 7,600.00 May 8, Purchase 800 18.25 14,600.00 Nov 3, Purchase 500 20.40 10,200.00
Merchandise Available 1,800 34,200.00
Five hundred units are unsold. Using the average cost method under a periodic inventory system, how much is the cost assigned to the ending merchandise inventory?
Question 273
Internal liquidity ratios
Question 274
BWT, Inc. shows the following data in its financial statements at the end of the year. Assume all securities were outstanding at the beginning of the year:
6.125% convertible bond, convertible into 33 shares of common stock. Issue price $1,000, 100
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bonds outstanding.
6.25% convertible preferred stock, $100 par, 2,315 shares outstanding. Convertible into 3.3
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shares of common stock, Issue price $100
8% convertible preferred stock, $100 par, 2,572 shares outstanding. Convertible into 5 common
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shares, Issue price $80
9,986 warrants are outstanding with an exercise price of $38. Each warrant is convertible into 1
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share of common.
Average market price of common is $52.00 per share. Common shares outstanding at the
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beginning of the year were 40,045.
Net Income for the period was $200,000, while the tax rate was 40%.
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How many new shares had to be issued to facilitate warrant conversion?
6.125% convertible bond, convertible into 33 shares of common stock. Issue price $1,000, 100
*
bonds outstanding.
6.25% convertible preferred stock, $100 par, 2,315 shares outstanding. Convertible into 3.3
*
shares of common stock, Issue price $100
8% convertible preferred stock, $100 par, 2,572 shares outstanding. Convertible into 5 common
*
shares, Issue price $80
9,986 warrants are outstanding with an exercise price of $38. Each warrant is convertible into 1
*
share of common.
Average market price of common is $52.00 per share. Common shares outstanding at the
*
beginning of the year were 40,045.
Net Income for the period was $200,000, while the tax rate was 40%.
*
How many new shares had to be issued to facilitate warrant conversion?
Question 275
Nabil buys 100 shares of "take a chance technologies" stock at $20 per share and wants to limit his losses. He could place a ______ order to sell 100 shares at $15, good until cancelled.