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NEED HELP ASAP WILL GIVE THUMBS UP Graphic Holding has 300,000 shares of common stock outstanding, each common stock has a par value of $1.
NEED HELP ASAP WILL GIVE THUMBS UP
Graphic Holding has 300,000 shares of common stock outstanding, each common stock has a par value of $1. The firm most recently had earnings available for common stockholders of $900,000, and the firm's shares were trading at $50.00 per share. In addition, the company has a total paid-in capital in excess of par of $600,000, and retained earnings of $580,000. i) If the firm's legal capital is defined as the par value of common stock, what is the maximum amount of cash dividends that the firm could pay out without impairing its capital? ii) How much does the firm currently earn per share? iii) If the firm just declared a 20\% stock dividend. What would be the firm's share market price after the stock dividend? iv) Mr. Ronald owns 30,000 shares of Graphic Holding stock. The company is planning to issue a stock dividend. Before the stock dividend, Mr. Ronald owned 10 percent of the company's outstanding stock. Upon receiving the 20 percent stock dividend, what would be the total value of his shares holding in Graphic Holding common stocks? Graphic Holding has 300,000 shares of common stock outstanding, each common stock has a par value of $1. The firm most recently had earnings available for common stockholders of $900,000, and the firm's shares were trading at $50.00 per share. In addition, the company has a total paid-in capital in excess of par of $600,000, and retained earnings of $580,000. i) If the firm's legal capital is defined as the par value of common stock, what is the maximum amount of cash dividends that the firm could pay out without impairing its capital? ii) How much does the firm currently earn per share? iii) If the firm just declared a 20\% stock dividend. What would be the firm's share market price after the stock dividend? iv) Mr. Ronald owns 30,000 shares of Graphic Holding stock. The company is planning to issue a stock dividend. Before the stock dividend, Mr. Ronald owned 10 percent of the company's outstanding stock. Upon receiving the 20 percent stock dividend, what would be the total value of his shares holding in Graphic Holding common stocksStep by Step Solution
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