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Marina86 [1]
3 years ago
8

Maxwell Corp. is coming to the market with a new offering of 450,000 shares of stock at $22 to the public. Maxwell will receive

$19 per share. The firm has one million shares outstanding and earnings of $6 million before recording the new issue. What is the amount of dilution in earnings per share
Business
1 answer:
kramer3 years ago
7 0

Answer:

$1.86

Explanation:

Earnings per Share = Earnings Attributable to Holders of Common Stock  ÷ Common Stock Outstanding

Old Earnings Per Share

Earnings per Share = $6,000,000 ÷ 1,000,000 = $6.00

New Earnings Per Share

Earnings per Share = $6,000,000 ÷ 1,450,000 = $4.14

Dilution in earnings per share = $6.00 - $4.14 = $1.86

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1. The statement of cash flows of Stuart Company for the year ended December 31, 2021, is as follows:

Stuart Company

<h3>Statement of Cash Flows</h3>

For the year ended December 31, 2021,        $'000

Net Income                                                     $5,600

Depreciation                                                      1,900

Other Adjustments                                            (800)

Increase in Accounts Payable                           600

Decrease in Accounts Receivable                    900

Increase in Inventory                                        (200)

Net Cash Flow from Operating Activities $8,000

2. The Net Cash Flow from Operating Activities for Stuart Company for 2021 is <u>$8 million</u>.

<h3>What are operating activities' cash flows?</h3>

The cash flows from the operating activities section affect revenues and expenses.

They indicate the cash flows that originate from the regular business activities of the entity.

To prepare the statement of cash flows, the first items to adjust the net income are the non-cash expenses and losses and revenues and gains.

Learn more about the operating activities section at brainly.com/question/25530656

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8 0
2 years ago
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harkovskaia [24]

Answer:

Direct labor rate variance= $69,579 unfavorable

Explanation:

Giving the following information:

Standard labor-hours per unit of output 9.0 hours

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Actual total labor cost= $191,880

To calculate the direct labor rate variance, we need to use the following formula:

Direct labor rate variance= (Standard Rate - Actual Rate)*Actual Quantity

Actual rate= 191,880/8,100= $23.69 per hour

Direct labor rate variance= (15.10 - 23.69)*8,100

Direct labor rate variance= $69,579 unfavorable

3 0
3 years ago
If a client is moderately risk averse and has an investment objective of capital preservation, what types and allocation of inve
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An individual with an investment objective of capital preservation should be investing in a mix of investment grade bonds and cash or cash equivalents lower risk capital appreciation vehicles, such as large-cap common stock, should also be considered. The other choices noted are too risky for a risk-averse investor.

Fixed earnings is a funding method focused on the maintenance of capital and earnings. It commonly includes investments like government and corporate bonds, CDs, and cash marketplace finances. fixed income can offer a consistent stream of earnings with less risk than stocks.

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6 0
1 year ago
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Answer:

conscientiousness

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8 0
3 years ago
Select the answer that best completes this sentence. Los pesos from different Spanish Speaking countries are _____
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I believe the answer is: different


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For example,

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8 0
3 years ago
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