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lozanna [386]
3 years ago
5

At December 31, 2018 and 2019, Frist Company had outstanding 50 million common shares and 4 million shares of 10%, $10 par cumul

ative preferred stock. Net income for 2019 was $20 million. No dividends were declared in 2018 or 2019. EPS for 2019 was:
Business
1 answer:
klemol [59]3 years ago
8 0

Answer:

The EPS for 2019 was $0.32

Explanation:

A                           Net Income                                 $20,000,000

B            No. of preferred Stock shares                  $4,000,000

C                     Par value per share                          $10.00

D = C*10%     Dividend per share (10%)                   $1.00

E = B*D           Preferred Dividend                          $4,000,000.00

F = A - E     Net Income(Common Stockholders)    $16,000,000.00

G          Number of share(common stock)outstanding    50,000,000

H = F - G       Earning per share for 2019                            $0.32

Therefore,The EPS for 2019 was $0.32

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King Noodles' bonds have a 7.5% coupon rate. Interest is paid quarterly and the bonds mature in 8 years. If the discount rate is
natima [27]

Answer:

The price of King Noodles' bonds is $970.66

Explanation:

Coupon payment = 1000 x 7.5% = $75 per year = 75/4 = 18.75 per quarter

Number of periods = n = 8 years x 4 quarter each year = 32 quarter

Yield to maturity = 8% per year = 8% / 4 = 2% per quarter

Price of bond is the present value of future cash flows, to calculate Price of the bond use following formula:

Price of the Bond = $18.75 x [ ( 1 - ( 1 + r )^-n ) / r ] + [ F / ( 1 + r )^n ]

Price of the Bond =$18.75 x [ ( 1 - ( 1 + 2% )^-32 ) / 2% ] + [ $1,000 / ( 1 + 2% )^32 ]

Price of the Bond = $18.75 x [ ( 1 - ( 1.02 )^-32 ) / 0.02 ] + [ $1,000 / ( 1.02 )^32 ]

Price of the Bond = $440.03 + $530.63

Price of the Bond = $970.66

3 0
3 years ago
Which of the following are criteria for determining whether to record an asset as a fixed asset?
valentinak56 [21]

Answer:

must be long lived and used by the company in its normal operations

Explanation:

An assets is something that will help the company to generate value.

8 0
3 years ago
The international organization for standardization (iso) organizes its standards by both the international classification for st
prisoha [69]
ISO stands for International Organization for Standardization known for setting the benchmark of standards in industrial, commercial and propriety. International Classification for Standards (ICS) on the other hand, is focused more on technicalities in every activity of the people.
3 0
3 years ago
For a branded house strategy, the following is often essential: A. Increased shelf presence in retail store B. One product that
grigory [225]

For a branded house strategy, the following is often essential, (C) use of strong, individual, or separate brand names.

<h3>What is branded house strategy?</h3>
  • A Branded House is a marketing approach in which multiple companies' products are sold under one name/branding umbrella.
  • If the master brand/company wants more control over the end product's production, distribution, and cost, this technique is ideal.
  • Apple is an example of a branded house.
  • Apple offers numerous goods, many of which are well-known enough to stand alone as product brands.
  • However, they are all clearly branded Apple and exploit the master brand's visual identity and spirit.
  • A Branded House strategy provides various benefits to businesses that provide different services or products under one brand, including Efficiency - a single marketing plan and brand code cover all offerings.
  • Ease - by keeping all offerings under the same brand, confusion and competition are avoided.

Therefore, for a branded house strategy, the following is often essential, (C) use of strong, individual, or separate brand names.

Know more about branded house strategy here:

brainly.com/question/6412726

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7 0
1 year ago
Spectacular Corporation began the year with accounts​receivable, inventory, and prepaid expenses totaling $67,000. At the end of
bixtya [17]

Answer:

Explanation:

The preparation of the Cash Flows from Operating Activities—Indirect Method is shown below:

Cash flow from Operating activities - Indirect method

Net income $82,000

Adjustment made:

Add : Depreciation expense $10,000

Less  : Gain on the sale of land ($3,000)

Less: Increase in current assets -$11,000 ($78,000 - $67,000)

Less: Decrease in current liabilities -$1,000 ($43,000 - $44,000)

Total of Adjustments -$5,000

Net Cash flow from Operating activities $77,000

6 0
3 years ago
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