Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

24. Mountain Mike's, LLC has 450 shares of $240 par value, 8% cumulative preferred stock and 30,000 shares of $35 par value common stock outstanding.

image text in transcribed
image text in transcribed
24. Mountain Mike's, LLC has 450 shares of $240 par value, 8% cumulative preferred stock and 30,000 shares of $35 par value common stock outstanding. The following dividends were paid: Year 1: $ 5,000 Year 2: $32,000 What was the cash dividend paid to common shareholders in the second year? Select one: a. 32,000 b. $0 c. $19,720 d. $12,280 On December 31, 2019, Hobbs Inc. had 18,900 shares outstanding of $12.60 par value common stock. The shares were originally issued for $36 per share. On January 1, 2020, Hobbs announced a 3 for 1 stock split of its common stock with a corresponding reduction in the stock's par value. The market price of the stock just before the split was $136 per share. After the stock split, how many shares are outstanding and what is the par value? Select one: a. 56,700 Shares Outstanding, $12.60 Par Value b. 6,300 Shares Outstanding, $4.20 Par Value c. 56,700 Shares Outstanding, $4.20 Par Value d. 6,300 Shares Outstanding, $37.80 Par Value 26 Perry Freight Co. leased a trailer to Harper Inc. for use in delivering inventory. The finance lease has a 3-year term, 5% implicit rate, and begins on January 1, 2018. The lease requires a down payment of $10,000 and two equal annual lease payments on December 31 of 2018 and 2019. The list price of the trailer on the inception date is $50,000. What is the dollar amount of each annual payment that Perry Freight Co. will receive a. 26,890 b. 18,360 c. 21,512 d. 14,688 27 On January 1, 2016, Westeros Corporation issued 2,400,000 of twelve-year, 8% bonds at an effective (market) interest rate of 10%. The bonds make a cash interest payment each year on December 31. What are the cash proceeds that Westeros received on January 1, 2016? a. 2,762,732 b. 2,105,061 c. 2,400,000 d. 2,072,943

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Forensics Audits And Dreaming

Authors: Helgard Petrus - Coetser

1st Edition

1664260250, 978-1664260252

More Books

Students also viewed these Accounting questions