Question
Smalley Company has preference and ordinary shares outstanding as follows: $5 preference shares, 40,000 shares @ $100 par value $ 4,000,000 Ordinary shares, 500,000 shares
| Smalley Company has preference and ordinary shares outstanding as follows: |
| $5 preference shares, 40,000 shares @ $100 par value | $ | 4,000,000 |
| Ordinary shares, 500,000 shares at $10 par value | 5,000,000 | |
| Share premium on ordinary shares | 800,000 | |
| Retained earnings | 1,750,000 | |
| Calculate the book value on ordinary shares, assuming preference dividends are cumulative and are currently one year in arrears. (Round your answer to 2 decimal places. Omit the "$" sign in your response.) |
| Book value | $ |
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Accounting
Authors: Carl S. Warren, James M. Reeve, Philip E. Fess
19th Edition
0538869720, 978-0538869720
