P11-10 (Static) Preparing the Stockholders Equity Section of the Balance Sheet and Evaluating Dividend Policy LO-11-1,11-3,11-4,11-5, 11-7

The following information was extracted from the records of Cascade Company at the end of the fiscal year after all adjusting entries were completed:

Common stock ($0.01 par value; 200,000 shares authorized, 54,000 shares issued, 52,000 shares outstanding)	$	540
Additional paid-in capital		456,000
Dividends declared and paid during the year		22,000
Retained earnings at the end of the year		312,000
Treasury stock at cost (2,000 shares)		(15,000	)

Net income for the year was $95,000. The stock price is currently $10 per share.

Required:.

1. Prepare the stockholders' equity section of the balance sheet at the end of the fiscal year.

2. Compute the dividend yield ratio. Determine the number of shares of stock that received dividends.

Prepare the stockholders' equity section of the balance sheet at the end of the fiscal year. (Amounts to be deducted should be indicated with a minus sign.)

Cascade Company
Balance Sheet (Partial)
At December 31, Current Year
Stockholders equity:
Contributed capital:
Total contributed capital		0
Total contributed capital and retained earnings		0
Total stockholders equity		$0

Compute the dividend yield ratio. Determine the number of shares of stock that received dividends. (Round Dividend yield ratio to 2 decimal places.)

Dividend yield ratio		%
Number of shares