$ 1,000,000 $ $12,160,000 Question #2 (10 marks) P-Stock, 8% 1,000,000 C/S 170,000 o/s (Jan 1) 200,000 31) R/E 1,800,000 Total equity 0 o/s (Dec $16,200,000 1,100,000 $ $14,260,000 $19,000,00 The 30,000 additional C/S were issued on April 1. Partial information from the statement of changes in equity during the year: R/E, Jan 1 NI C/S div $1,100,000 1,200,000 (450,000)...
Saved The adjusted trial balance for Starbucks Electric Crane (SEC) Company at December 31, 2021, is presented below: Credit Debit 12,100 166,000 6,600 41,000 460,000 Cash Accounts receivable Prepaid rent Inventory Equipment Accumulated depreciation equipment Accounts payable Notes payable-due in three months Salaries payable Interest payable Common stock Retained earnings Dividends Sales revenue Costs of goods sold Salaries expense Rent...
The trial balance for Lindor Corporation, a manufacturing company, for the year ended December 31, 2021, included the following accounts: Debits Credits 2,720,000 Account Title Sales revenue Cost of goods sold Selling and administrative expense Interest expense Gain on debt securities 1,600,000 440,000 60,000 100,000 The gain on debt securities is unrealized and classified as other comprehensive income. The trial...
When Crossett Corporation was organized in January 2018, it immediately issued 4,000 shares of $50 par, 6 percent, cumulative preferred stock and 50,000 shares of $20 par common stock. Its earnings history is as follows: 2018, net loss of $35,000; 2019, net income of $125,000; 2020, net income of $215,000. The corporation did not pay a dividend in 2018. Required...
Exercise 12-04
Presented below is selected information for Pharoah
Company.
Answer the questions asked about each of the factual situations.
(Do not leave any answer field blank. Enter 0 for
amounts.)
1. Pharoah purchased a patent from Vania Co. for
$1,260,000 on January 1, 2018. The patent is being amortized over
its remaining legal life of 10 years, expiring on...
Presented below is selected information for Sheridan
Company.
Answer the questions asked about each of the factual situations.
(Do not leave any answer field blank. Enter 0 for
amounts.)
1. Sheridan purchased a patent from Vania Co. for
$1,160,000 on January 1, 2018. The patent is being amortized over
its remaining legal life of 10 years, expiring on January 1,...
XOS Corporation (XOS) sells accounting-related memorabilia at a small store. The company was organized and began operations on January 1, 2016. Events During January, 2016: 1. On January 1, the owner invested $100,000 cash in the company, receiving 1,000 shares of $2 par value common stock in exchange. 2. On January 1, XOS purchased furniture and fixtures for $30,000. Paid...
On June 1, Tucker Inc. issues 3,000 shares of no-par common
stock at a cash price of $7 per share.
Journalize the issuance of the shares. (Credit account
titles are automatically indented when amount is entered. Do not
indent manually.)
Date
Account Titles and Explanation
Debit
Credit
June 1
Bioscience Inc. will pay a common stock dividend of $3.20 at the end of the year (D1). The required return on common stock (Ke) is 20 percent. The firm has constant growth rate (g) of 10 percent. Compute the current price of the stock (P0) Current Price:________________
Assume the following premia: Strike $950 Call $120.405 93.809 84.470 71.802 51.873 Put $51.777 74.201 1000 1020 84.470 101.214 1050 1107 137.167 I 1) Suppose you invest in the S&P stock index for $1000, buy a 950-strike put, and sell a 1050- strike call. Draw a profit diagram for this position. What is the net option premium? 2) Here is...