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Concord Company manufactures backpacks. During 2017, Concord issued bonds at 12% interest and used the cash proceeds to purchase treasury stock. The following financial information
Concord Company manufactures backpacks. During 2017, Concord issued bonds at 12% interest and used the cash proceeds to purchase treasury stock. The following financial information is available for Concord Company for the years 2017 and 2016. 2017 2016 Sales revenue $17,100,000 $17,100,000 Net income 4,256,000 4,750,000 Interest expense 1,400,000 392,000 Tax expense Dividends paid on common stock 2,492,000 2,872,800 Dividends paid on preferred stock 840,000 840,000 Total assets (year-end) 27,550,000 32,062,500 Average total assets 43,925,000 49,736,400 Total liabilities (year-end) 16,800,000 8,400,000 Avg. total common stockholders' equity 26,320,000 39,480,000 1,273,000
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