Question : 91.Refer to the information above. Book value per share of : 1237453

 

 

91.Refer to the information above. Book value per share of common stock (rounded to the nearest penny) is:   

A. $15.10.

 

B. $14.10.

 

C. $15.90.

 

D. $19.10.

$1,200,000 + $600,000 – $60,000 – $48,000 = $1,692,000/120,000 = $14.10

 

 

 

92.Which of the following best describes the book value of a share of stock?   

A. Net assets divided by the number of shares outstanding.

 

B. The amount at which the stock would sell on the market if sold by a willing and informed seller to a willing and informed buyer.

 

C. Total assets of the company, as reported in the accounting records, divided by the number of shares of stock outstanding.

 

D. Total stockholders’ equity divided by the number of shares authorized.

 

 

 

 

Vision Corporation has the following information on its financial statement: 

 

93.Refer to the information above. If Vision paid a total of $55,800 in dividends, how much would each common stockholder receive for each share of stock owned? (Assume there are no dividends in arrears)   

A. $0.12 per share.

 

B. $0.24 per share.

 

C. $0.06 per share.

 

D. $0.18 per share.

$55,800 – (4,500 × $6) = $28,800/240,000 = $0.12

 

 

 

94.Refer to the information above. If Vision did not pay a dividend for the last two years, but declared a dividend this year, how much will they have to declare in order for the common stockholders to receive $.45 per share?   

A. $189,000.

 

B. $306,000.

 

C. $108,000.

 

D. $162,000.

[3(4,500 × $6)] + $0.45(240,000) = $189,000

 

 

 

95.Refer to the information above. If Vision decided to purchase 50,000 shares of its common stock to be used for future stock option plans at $9.50 per share, what journal entry would they make?     

A. Option A

 

B. Option B

 

C. Option C

 

D. Option D

50,000 × $9.50 = $475,000

 

 

 

Amelia Corporation has the following information in its financial statement: 

 

96.Refer to the information above. If Amelia paid a total of $75,000 in dividends, how much would each common stockholder receive for each share of stock owned? (Assume there are no dividends in arrears)   

A. $0.23 per share.

 

B. $0.13 per share.

 

C. $0.18 per share.

 

D. $0.08 per share.

$75,000 – (5,400 × $6) = $42,600/320,000 = $0.13 (rounded)

 

 

 

97.Refer to the information above. How many shares of preferred stock are outstanding?   

A. 32,400 shares.

 

B. 5,400 shares.

 

C. 10,000 shares.

 

D. The number of shares cannot be determined without more information.

$540,000/$100 par = 5,400 shares

 

 

 

98.Refer to the information above. If Amelia did not pay a dividend for the last two years, but declared a $250,000 dividend this year, how much will the common stockholders receive?   

A. $152,800.

 

B. $250,000.

 

C. $97,200.

 

D. $217,600.

$250,000 – 3(5,400 × $6) = $250,000 – $97,200 = $152,800

 

 

 

99.Refer to the information above. If Amelia decided to purchase 20,000 shares of its common stock to be used for future stock option plans at $11.40 per share, what journal entry would they make?     

A. Option A

 

B. Option B

 

C. Option C

 

D. Option D

20,000 × $11.40 = $228,000

 

 

 

Shown below is information relating to the stockholders’ equity of Clydsdale Corporation at December 31, 2015: 

 

100.Refer to the information above. The average issue price per share of the preferred stock was:   

A. $40.

 

B. $80.

 

C. $120.

 

D. $160.

($1,600,000 + $800,000)/20,000 = $120