Question
Q1. Jacquet Wholesale Merchandise Inc. had 80,000 shares of 6%, CHF20 par value preference shares and 60,000 shares of CHF25 Par value ordinary shares outstanding
Q1. Jacquet Wholesale Merchandise Inc. had 80,000 shares of 6%, CHF20 par value preference shares and 60,000 shares of CHF25 Par value ordinary shares outstanding throughout 2017.
Total dividends declared in 2017 were $60,000. The preference shares are cumulative and no dividends were paid in 2015 or 2016. The amount of dividends in arrears at December 31, 2017 is a. CHF36,000.
b. CHF192,000.
c. CHF228,000.
d. CHF288,000.
Q2. Lang Inc. reported net income of ((180,000)) during 2017 and paid dividends of 26,000 on ordinary shares. It also has (10,000 6%, 100) par value preference shares outstanding. Ordinary shareholders' equity was (1,200,000) on January 1, 2017, and 1,600,000 on December 31, 2017. The company's return on ordinary shareholders' equity for 2017 is:
Answer: 8.6% how?
Q3. Assume that all statement of financial position amounts for represent average balance figures. Remington Company represent average balance figures.
Shareholders equityordinary $150,000
Total equity 200,000 Sales revenue 100,000 Net income 25,000
Number of ordinary shares 10,000
Ordinary share dividends 10,000
Preference share dividend 4,000
What is the return on ordinary shareholders equity ratio for Remington?
a. 16.7% b. 14.0% c. 10.0% d. 7.3%
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started