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On January 1 , 2 0 2 4 , the general ledger of Grand Finale Fireworks includes the following account balances: Accounts Debit Credit Cash
On January the general ledger of Grand Finale Fireworks includes the following account balances: Accounts Debit Credit Cash $ Accounts Receivable Supplies Equipment Accumulated Depreciation $ Accounts Payable Common Stock, $ par value Additional Paidin Capital Retained Earnings Totals $ $ During January the following transactions occur: January Issue an additional shares of $ par value common stock for $ January Provide services to customers on account, $ January Purchase additional supplies on account, $ January Purchase shares of treasury stock for $ per share. January Pay cash on accounts payable, $ January Provide services to customers for cash, $ January Receive cash on accounts receivable, $ January Declare a cash dividend of $ per share to all shares outstanding on January The dividend is payable on February Hint: Grand Finale Fireworks had shares outstanding on January and dividends are not paid on treasury stock. January Resell shares of treasury stock for $ per share. January Pay cash for salaries during January, $ Analyze the following for Grand Finale Fireworks: a Calculate the return on equity for the month of January. a If the average return on equity for the industry for January is is the company more or less profitable than other companies in the same industry? b How many shares of common stock are outstanding as of January c Calculate earnings per share for the month of January. Hint: To calculate average shares of common stock outstanding take the beginning shares outstanding plus the ending shares outstanding and divide the total by c If earnings per share was $ last year ie an average of $ per month is earnings per share for January better or worse than last years average?Req a Req a Req b Req c Req c Calculate the return on equity for the month of January.
On January the general ledger of Grand Finale Fireworks includes the following account balances:
Accounts Debit Credit
Cash $
Accounts Receivable
Supplies
Equipment
Accumulated Depreciation $
Accounts Payable
Common Stock, $ par value
Additional Paidin Capital
Retained Earnings
Totals $ $
During January the following transactions occur:
January Issue an additional shares of $ par value common stock for $
January Provide services to customers on account, $
January Purchase additional supplies on account, $
January Purchase shares of treasury stock for $ per share.
January Pay cash on accounts payable, $
January Provide services to customers for cash, $
January Receive cash on accounts receivable, $
January Declare a cash dividend of $ per share to all shares outstanding on January The dividend is payable on February Hint: Grand Finale Fireworks had shares outstanding on January and dividends are not paid on treasury stock.
January Resell shares of treasury stock for $ per share.
January Pay cash for salaries during January, $
Analyze the following for Grand Finale Fireworks:
a Calculate the return on equity for the month of January.
a If the average return on equity for the industry for January is is the company more or less profitable than other companies in the same industry?
b How many shares of common stock are outstanding as of January
c Calculate earnings per share for the month of January. Hint: To calculate average shares of common stock outstanding take the beginning shares outstanding plus the ending shares outstanding and divide the total by
c If earnings per share was $ last year ie an average of $ per month is earnings per share for January better or worse than last years average?Req a
Req a
Req b
Req c
Req c
Calculate the return on equity for the month of January.
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