Questions from Accounting Principles

Q: The corporate charter of Luney Corporation allows the issuance of a maximum

The corporate charter of Luney Corporation allows the issuance of a maximum of 100,000 shares of common stock. During its first two years of operations, Luney sold 70,000 shares to shareholders and re...

Q: What factors help determine the market price of stock?

What factors help determine the market price of stock?

Q: a. What is a dividend? b. “Dividends

a. What is a dividend? b. “Dividends must be paid in cash.” Do you agree? Explain.

Q: How are retained earnings restrictions generally reported in the financial statements?

How are retained earnings restrictions generally reported in the financial statements?

Q: Kevin Mathis is confused about the partnership characteristics of (a

Kevin Mathis is confused about the partnership characteristics of (a) mutual agency and (b) unlimited liability. Explain these two characteristics for Kevin.

Q: Rafy Furcal believes that both the beginning and ending balances in retained

Rafy Furcal believes that both the beginning and ending balances in retained earnings are shown in the stockholders’ equity section. Is Rafy correct? Discuss.

Q: Dean Percival, who owns many investments in common stock, says

Dean Percival, who owns many investments in common stock, says, “I don’t care what a company’s net income is. The stock price tells me everything I need to know!” How do you respond to Dean?

Q: What is the unique feature of a corporation income statement? Illustrate

What is the unique feature of a corporation income statement? Illustrate this feature, using assumed data.

Q: Why must preferred stock dividends be subtracted from net income in computing

Why must preferred stock dividends be subtracted from net income in computing earnings per share?

Q: What were the amounts of basic earnings per share of common stock

What were the amounts of basic earnings per share of common stock that Apple reported in the years 2014 to 2015?