Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Comparative Statements of Shareholders' Equity for Locke Intertechnology Corporation were reported as follows for the fiscal years ending December 31, 2019, 2020, and 2021. Retained

image text in transcribed

Comparative Statements of Shareholders' Equity for Locke Intertechnology Corporation were reported as follows for the fiscal years ending December 31, 2019, 2020, and 2021. Retained Earnings $ 1,904 LOCKE INTERTECHNOLOGY CORPORATION Statements of Shareholders' Equity For the Years Ended Dec. 31, 2019, 2020, and 2021 ($ in millions) Preferred Common Additional Stock, Stock, Paid-in $10 par $1 par Capital Balance at January 1, 2019 $ 50 $ 560 Sale of preferred shares 11 540 Sale of common shares, 7/1 10 87 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2019 11 60 1, 187 Retirement of common shares, 4/1 (6) (42) Cash dividend, preferred Cash dividend, common 3-for-2 split effected in the form of a common stock dividend, 8/12 27.0 (27.0) Net income Balance at December 31, 2020 11 81.0 1,118.0 10% common stock dividend, 5/1 8.10 90 Sale of common shares, 9/1 3 33 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2021 $11 $92.10 $1,241.0 (2) (15) 370 2,257 (27) (2) (19) Total Shareholders' Equity $2,514 551 97 (2) (15) 370 3,515 (75) (2) (19) 470 2,679 (98.10) 470 3,889 (2) (35) 438 $2,981.90 36 (2) (35) 438 $4,326 Required: Infer from the statements the events and transactions that affected Locke Intertechnology Corporation's shareholders' equity and compute earnings per share as it would have appeared on the income statements for the years ended December 31, 2019, 2020, and 2021. No potential common shares were outstanding during any of the periods shown. (Enter your answers in millions rounded to 2 decimal places (i.e., 5,500,000 should be entered as 5.50).) Year Numerator Denominator = Earnings per share / = TT 2019 2020 2021

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

Intermediate Accounting

Authors: James D. Stice, Earl K. Stice, Fred Skousen

17th Edition

032459237X, 978-0324592375

More Books

Students also viewed these Accounting questions

Question

What attracts you to our graduate program specifically?

Answered: 1 week ago

Question

Please make it fast 4 1 1 .

Answered: 1 week ago