Questions from Intermediate Accounting

Q: The information below pertains to Barkley Company for 2015./

The information below pertains to Barkley Company for 2015. There were no changes during 2015 in the number of common shares, preferred shares, or convertible bonds outstanding. There is no tre...

Q: The financial statements of Marks and Spencer plc (M&S

The financial statements of Marks and Spencer plc (M&S) are available at the book’s companion website or can be accessed at http://annualreport.marksandspencer.com/_assets/downloads/Marks...

Q: Define the following terms.(a) Basic earnings per

Define the following terms. (a) Basic earnings per share. (b) Potentially dilutive security. (c) Diluted earnings per share. (d) Complex capital structure. (e) Potential common stock.  

Q: Earnings per share can affect market prices of common stock. Can

Earnings per share can affect market prices of common stock. Can market prices affect earnings per share? Explain.  

Q: The stockholders’ equity section of Martino Inc. at the beginning of

The stockholders’ equity section of Martino Inc. at the beginning of the current year appears below. During the current year, the following transactions occurred. 1. The company issued t...

Q: On January 1, 2015, Titania Inc. granted stock options

On January 1, 2015, Titania Inc. granted stock options to officers and key employees for the purchase of 20,000 shares of the company’s $10 par common stock at $25 per share. The options were...

Q: Rockland Corporation earned net income of $300,000 in 2014

Rockland Corporation earned net income of $300,000 in 2014 and had 100,000 shares of common stock outstanding throughout the year. Also outstanding all year was $800,000 of 10% bonds, which are conv...

Q: Volker Inc. issued $2,500,000 of convertible

Volker Inc. issued $2,500,000 of convertible 10-year bonds on July 1, 2014. The bonds provide for 12% interest payable semiannually on January 1 and July 1. The discount in connection with the issue...

Q: Explain how the conversion feature of convertible debt has a value

Explain how the conversion feature of convertible debt has a value (a) To the issuer and (b) To the purchaser.  

Q: For various reasons a corporation may issue warrants to purchase shares of

For various reasons a corporation may issue warrants to purchase shares of its common stock at specified prices that, depending on the circumstances, may be less than, equal to, or greater than the...