Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following information pertains to Parsons Co.: Preferred stock, cumulative: Par value per share $100 Dividend rate 8% Shares outstanding 11,000 Dividends in arrears none

The following information pertains to Parsons Co.: Preferred stock, cumulative: Par value per share $100 Dividend rate 8% Shares outstanding 11,000 Dividends in arrears none Common stock: Par value per share $10 Shares issued 129,000 Dividends paid per share $2.10 Market price per share $48.00 Additional paid-in capital $490,000 Unappropriated retained earnings (after closing) $260,000 Retained earnings appropriated for contingencies $290,000 Common treasury stock: Number of shares 11,000 Total cost $240,000 Net income $619,000 Compute (assume no changes in balances during the past year): (Round per share and ratios to 2 decimal places, e.g. $15.25 or 15.25%.)

(a) Total amount of stockholders' equity in the balance sheet $

(b) Earnings per share of common stock $ per share

(c) Book value per share of common stock $ per share

(d) Payout ratio of common stock % (e) Return on common stock equity %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Management Accounting

Authors: Greg Shields

1st Edition

1647484286, 978-1647484286

More Books

Students also viewed these Accounting questions