Exercise 14-2 (Part Level Submission) Knudsen Corporation was organized on January 1, 2016. During its first year, the corporation issued 1,900 shares of $50 par value preferred stock and 101,000 shares of $10 par value common stock. At December 31, the company declared the following cash dividends: 2016, $5,550; 2017, $14,500; and 2018, $29,000. (a) x Your answer is incorrect. Try again. Show the allocation of dividends to each class of stock, assuming the preferred stock dividend is 7% and noncumulative. 2016 2017 2018 Allocation to preferred stock 5560 14500 29000 x Allocation to common stock 5560 6650 66501 Click if you would like to Show Work for this question: Open Show Work Exercise 14-5 (Part Level Submission) On October 1, Little Bobby Corporation's stockholders' equity is as follows. Common stock, $5 par value Paid-in capital in excess of par-common stock Retained earnings Total stockholders' equity $381,500 28,000 165,000 $574,500 On October 1, Little Bobby declares and distributes a 10% stock dividend when the market price of the stock is $14 per share. (a) Your answer is correct. Compute the par value per share (1) before the stock dividend and (2) after the stock dividend. Par value before the stock dividend Par value after the stock dividend Click if you would like to Show Work for this question: Open Show Work SHOW SOLUTION LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE Attempts: 1 of 5 used (b) Indicate the balances in the three stockholders' equity accounts after the stock dividend shares have been distributed. Common stock Paid-in capital in excess of par value Retained earnings Exercise 14-15 x Your answer incorrect. Try again. The following financial information is available for Plummer Corporation. Average common stockholders' equity Dividends paid to common stockholders Dividends paid to preferred stockholders Net income Market price of common stock 2017 $1,120,000 51,000 22,500 295,000 19 2016 $875,000 34,500 22,500 190,000 17 The weighted average number of shares of common stock outstanding was 75,000 for 2016 and 105,000 for 2017, Calculate earnings per share and return on common stockholders' equity for 2017 and 2016. (Round answers to 2 decimal places, e.g. 10.50% or 10.50.) 2017 2016 Earnings per share 2.80 3.90 x Return on common stockholders' equity 26.30 % 33.70 %