1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
AveGali [126]
2 years ago
5

Changes in stockholders' equity Listed are the equity sections of balance sheets for years 2014 and 2015 as reported by Mountain

Air Ski Resorts, Inc. The overall value of stockholders' equity has risen from $1,800,000 to $7,200,000. Use the statements to discover how and why this happened. The company paid total dividends of $210,000 during fiscal 2015.
Mountain Air Ski Resorts, Inc. Balance Sheet (partial)
Stockholder's Equity 2014 2015
Common stock ($1.00 par)
authorized 4,600,000 shares
outstanding 1,600,000 shares 2015 $1,600,000
outstanding 480,000 shares 2014 $480,000
Paid-in capital in excess of par 520,000 4,100,000
Retained earnings 800,000 1,500,000
Total stockholder's equity $1,800,000 $7,200,000

a. Mountain Air's net income for fiscal 2015 is $_____. Round to the nearest dollar.
b. The number of new shares issued is shares _____. Round to the nearest integer.
c. The price per share of the new stock sold during 2015 is $_____. Round to the nearest cent.
d. The original price of the shares was $_____. (Round to the nearest cent.)
Business
1 answer:
svet-max [94.6K]2 years ago
5 0

a. Mountain Air's net income for fiscal 2015 is $910,000.

b. The number of new shares issued is 1,120,000.

c. The price per share of the new stock sold during 2015 is $4.20.

d. The original price of the shares was $2.08.

a. The net income is

= $1,500,000 - $800,000 + $210,000

= $910,000

b. The number of  New Share issued is

= 1,600,000 - 480,000

= 1,120,000

c. The price of the new stock per share sold is  

Par Value 1,120,000

Add: Paid In excess Of par (4,100,000 - 520,000) 3,580,000

Net Proceeds from issuance of shares 4,700,000

Number of New Share Issued 1,120,000

Now  

The Average price per share of the new stock sold is

= 4,700,000 ÷ 1,120,000

= $4.20

d. The original price of the share is  

The original issuance price is

= (Paid-in-capital account + common stock account) ÷ original shares  

= (520,000 + 480,000) ÷ 480,000

= $2.08

Therefore we can conclude that

a. Mountain Air's net income for fiscal 2015 is $910,000.

b. The number of new shares issued is 1,120,000.

c. The price per share of the new stock sold during 2015 is $4.20.

d. The original price of the shares was $2.08.

Learn more: brainly.com/question/13931207

You might be interested in
You are planning a special wedding three years from today. You don't know who your spouse will be but you do know that you are s
Novay_Z [31]

Answer:

Total amount collected = $94,400

Explanation:

Given:

1st investment = $25,000

2nd Investment = $35,000

3rd investment = $45,000

Computation of total amount:

Total\ amount = \frac{25,000}{1} +\frac{35,000}{(1+r)^1} +\frac{45,000}{(1+r)^3} \\\\Total\ amount = \frac{25,000}{1} +\frac{35,000}{(1+0.07)^1} +\frac{45,000}{(1+0.07)^3} \\\\Total\ amount = \frac{25,000}{1} +\frac{35,000}{(1.07)^1} +\frac{45,000}{(1.07)^3} \\\\Total\ amount = \frac{25,000}{1} +\frac{35,000}{(1.07)} +\frac{45,000}{(1.2250)} \\\\Total\ amount = 25,000 +32,710.28 +36,734.6939 \\\\Total\ amount = 94,444 \\\\

Total amount collected = $94,400

3 0
3 years ago
According to the textbook readings, gross margin results from _____________ 1) Subtracting expenses from profit 2) Subtracting e
sveticcg [70]

Answer:

The answer is 3. Subtracting cost of goods sold from net sales

Explanation:

Gross margin or Gross profit is the profit a business earn after deducting cost associated with making the goods from net sales(Net sales - Cost of goods sold or Cost of sales)

To calculate cost of goods sold - opening inventory/stock plus purchases minus closing inventory/stock.

The attached file also support this statement.

7 0
2 years ago
Read 2 more answers
Suppose there is a simple one good economy that only produces spinning rims. In 2015, the economy was able to produce 1 million
Alex_Xolod [135]

Answer: 0

Explanation:

Firstly, we will calculate the nominal value in 2015 which will be:

= $500 x 1 million

= $500 million

The nominal value in 2016 will be:

= $1000 x 1 million

= $1 billion

Real GDP will be the price of the base year multiplied by the quantity of the current year which will be:

= $500 million x 1 million sets

= $500 million

Therefore, the increase in real GDP is zero.

4 0
3 years ago
Why are some industries regulated?
muminat
Uk ​ us ​ GOVERNMENT, LAW. a type of business that is controlled by government rules: This applies to workers in regulated industries, such as teaching or financial services. The nuclear industry is the most highly regulated industry in the world.
5 0
3 years ago
Suppose that there are only two small countries in the​ world: ascot, with a population of 37 comma 500 ​people, and​ delwich, w
FromTheMoon [43]

Answer: The price of the tied good is $27.

Explanation: The practice of tying is used to package products in such a way that the price of the tied (combined) good is closer to the buyers total willingness to pay for the two goods.

In this case, the total willingness to pay of Carnivore is $20+$7=$27

While, that of Leafygreens is $8+$12=$20

Thus, the producer will sell the combined good at $27 as it will give him more revenue.

8 0
2 years ago
Other questions:
  • Investments created to invest many people's money in many different firms are called:
    11·2 answers
  • Domino's Pizza was 50 years old in 2010. Visit the company's business-related website (www.dominosbiz) and read the company prof
    13·1 answer
  • Company C is identical to Company D in every respect except that Company C uses LIFO and Company D uses average costs. In an ext
    12·1 answer
  • When a recession end,
    8·1 answer
  • Alex, a Nevada developer, has a very large development of attached retirement villas. He is interested in advertising this devel
    10·1 answer
  • Abram is a manager at Runa Marcus Corp., a company that runs a women's lifestyle magazine. Abram's strong points are his creativ
    8·1 answer
  • When you're planning a convention, which of the following steps would you complete first? A. Select the site. B. Write the invit
    7·1 answer
  • Conversations on twitter move fast and it's easy to miss the opportunity to engage with an important influencer or prospect. ___
    5·1 answer
  • Mountain Springs Water Company has two departments, Purifying and Bottling. The Bottling Department had 2,900 liters in beginnin
    11·1 answer
  • HELP ME PLEASE ILL GIVE CROWN PLEASE!!
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!