Questions from Financial Reporting

Q: On April 30, 20X1, Pound Corp. acquired for

On April 30, 20X1, Pound Corp. acquired for cash all 200,000 shares of the outstanding common stock of Shake Corp. for $20 per share. At April 30, 20X1, Shake’s balance sheet showed net assets with a...

Q: Mason Manufacturing had 600,000 shares of common stock outstanding and

Mason Manufacturing had 600,000 shares of common stock outstanding and 150,000 shares of $100 par value preferred stock outstanding January 1, 20X1. An additional 120,000 shares of common stock were i...

Q: The Retained earnings account for Nathan Corporation had a credit balance of

The Retained earnings account for Nathan Corporation had a credit balance of $800,000 at the end of 20X0. Selected transactions during 20X1 follow: a. Net income was $130,000. b. Cash dividends declar...

Q: Effective April 27, 20X1, Dorr Corporation’s shareholders approved a two

Effective April 27, 20X1, Dorr Corporation’s shareholders approved a two-for-one split of the company’s common stock and an increase in authorized common shares fro...

Q: Tam Company’s net income for the year ending December 31, 20X1

Tam Company’s net income for the year ending December 31, 20X1, was $10,000. During the year, Tam declared and paid $1,000 cash dividends on preferred stock and $1,750 cash dividends on common stock....

Q: Fountain Inc. has 5,000,000 shares of common

Fountain Inc. has 5,000,000 shares of common stock outstanding on January 1, 20X1. It issued an additional 1,000,000 shares of common stock on April 1, 20X1, and 500,000 more on July 1, 20X1. On Octob...

Q: Refer to the salesforce.com financial statement excerpts given below to

Refer to the salesforce.com financial statement excerpts given below to answer the questions. On January 31, 2019, the price of salesforce.com stock was $151.97, and there were 770 million shares of c...

Q: Information concerning the capital structure of the Petrock Corporation is as follows

Information concerning the capital structure of the Petrock Corporation is as follows: During 20X1, Petrock paid dividends of $1 per share on its common stock and $2.40 per share on its preferred stoc...

Q: On July 1, 20X1, Amos Corporation granted nontransferable, nonqualified

On July 1, 20X1, Amos Corporation granted nontransferable, nonqualified stock options to certain key employees as additional compensation. The options permit the purchase of 20,000 shares of Amos’s $1...

Q: The stockholders’ equity section of Peter Corporation’s balance sheet at December 31

The stockholders’ equity section of Peter Corporation’s balance sheet at December 31, 20X1, follows: On January 2, 20X2, Peter purchased and retired 100,000 shares...