Chapter 13:Corporations:Organization, Stock Transactions, and Dividends

Initial Post

Part 1 (Use your company's annual report) Facebook annual report for 2019

Please examine the Balance Sheet and accompanying notes of your company. Answer the following questions:

1. What percentage of total liabilities and stockholders' equity is stockholders' equity? What kinds of stock does the company have?

2. Is retained earnings a significant component of stockholders' equity?

3. Does the company have treasury stock? What effect does it have on total stockholders' equity?

4. Indicate the Earnings Per Share.What does this tell you about your corporation's profitability?

5. Please also let us know what the three classifications of restrictions are of retained earnings and indicate how these restrictions are normally reported on the financial statements. Does your company have restricted retained earnings? Please explain.

https://s21.q4cdn.com/399680738/files/doc_financials/2019/q4/FB-12.31.2019-Exhibit-99.1-r61_final.pdf