Blossom Inc. presented the following data:
| Net income | $5,500,000 | |
| Preferred shares: 48,000 shares outstanding, $100 par, 7% cumulative, not convertible | $4,800,000 | |
| Common shares: Shares outstanding, Jan. 1, 2020 | 639,000 | |
| Issued for cash, May 1, 2020 | 99,000 | |
| Acquired treasury shares for cash, Sept. 1, 2020 (shares cancelled) | 138,000 | |
| 2–for–1 stock split, Oct. 1, 2020 |
As of January 1, 2020, there were no dividends in arrears. On
December 31, 2020, Blossom declared and paid the preferred dividend
for 2020.
1) Calculate earnings per share for the year ended December 31, 2020
2) Assume that Blossom did not declare or pay a preferred
dividend in 2020.
Calculate earnings per share for the year ended December 31,
2020
3) Assume that as at January 1, 2020, Blossom had two years of
dividends in arrears, and that on December 31, 2020, Blossom
declared and paid the dividends in arrears and the preferred
dividend for 2020.
Calculate earnings per share for the year ended December 31,
2020.
4) Assume that the preferred shares are non-cumulative, and that
the preferred dividend was paid in 2020.
Calculate earnings per share for the year ended December 31,
2020.
5) Assume that the preferred shares are non-cumulative, and that
Blossom did not declare or pay a preferred dividend in 2020.
Calculate earnings per share for the year ended December 31,
2020.
In: Accounting
The starting salaries of individuals with an MBA degree are normally distributed with a mean of $90,000 and a standard deviation of $20,000. Suppose we randomly select 16 of these individuals with an MBA degree. What is the probability that the average starting salary for these individuals is at least $85,800?
In: Statistics and Probability
1. GMAT scores are required for admission to JHJ’s MBA program. GMAT scores are known to be normally distributed with a mean of 490 points and a standard deviation of 61 points.
In: Statistics and Probability
After graduating from college, you landed a $75,000 job and were happy with it until your friends started going back to school. Now the MBA is on your mind as well. The cost of a good MBA program is $40,000 a year and such programs require that your are a full-time student. It will take you two years to graduate and you will have to leave your job, while attending school. You expect that the starting salary for an MBA professional will be $120,000 by the time you graduate and will increase by 2 percent every year. If you stay at your current job, your salary will be $77,500 at age 25 and will increase by 1% until you retire. Your opportunity cost of capital is 12%. Is this a good decision, if you start your MBA program when you are 25 and retire when you turn 55 (assume the same retirement age for both options.)
In: Finance
Jill starts to save money for her tuition payments needed for a reputed MBA program she wishes to begin in 5 years. Beginning today she will deposit $5000 each year into a MBA tuition account. The last payment will be made 5 years from today (i.e., she will make 6 equal annual deposits). Starting three months after making her final deposit, she will withdraw quarterly to pay tuition for each of the following 5 quarters (i.e. she will make 5 withdrawals in all). Assume that the MBA tuition account earns 1% quarterly during the period she makes withdrawals. The quarterly tuition she is committed to paying towards her MBA is closest to:
1) $6,766 2) $6,545 3) $6,610 4) $7,036 5) $6,833
Please answer. Thank you!
In: Finance
Your friend is the accountant for Jackrabbit Inc., a computer server startup company. The friend asks you if accelerated depreciation would help Jackrabbit reduce the tax liability on a recent hardware purchase. What are some advantages of accelerated depreciation as compared to a straight-line method, and which method would benefit a startup company like Jackrabbit?
Please provide a detailed answer. Thanks in advance.
In: Accounting
Do you think replacing several EU members' national currencies in 1999 with the euro was optimal? Will euro survive? Why or why not?
Discuss costs and benefits of a single currency area.
Compare the Eurozone and the United States in terms of the 'optimum currency area' criteria. (Hint: view the US as a currency union of 50 countries or independent states).
Use the textbook and outside sources where appropriate.
In: Economics
QUESTION 25
The nation's only legal drug enforcement agency is called the:
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FTC |
||
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CDC |
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DEA |
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FDA |
QUESTION 26
Certificates of registration for pharmacist licensure are granted in most states for a period of:
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1 to 2 years |
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2 to 3 years |
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3 to 4 years |
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4 to 5 years |
QUESTION 27
In the United States, drug legislation began in the:
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1700s |
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1800s |
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1900s |
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1950s |
In: Nursing
Do you think replacing several EU members' national currencies in 1999 with the euro was optimal? Will euro survive? Why or why not? Discuss costs and benefits of a single currency area. Compare the Eurozone and the United States in terms of the 'optimum currency area' criteria. (Hint: view the US as a currency union of 50 countries or independent states). Use the textbook and outside sources where appropriate.
In: Economics
At December 31, 2019, certain accounts included in the property,
plant, and equipment section of Marigold Corporation’s statement of
financial position had the following balances:
| Land | $309,540 | |
| Buildings—Structure | 882,850 | |
| Leasehold Improvements | 705,000 | |
| Equipment | 844,630 |
During 2020, the following transactions occurred:
| 1. | Land site No. 621 was acquired for $799,520 plus a fee of $6,900 to the real estate agent for finding the property. Costs of $33,280 were incurred to clear the land. In clearing the land, topsoil and gravel were recovered and sold for $10,590. | ||||||||||||||||
| 2. | Land site No. 622, which had a
building on it, was acquired for $559,600. The closing statement
indicated that the land’s assessed tax value was $308,960 and the
building’s value was $101,560. Shortly after acquisition, the
building was demolished at a cost of $27,570. A new building was
constructed for $339,820 plus the following costs:
The building, completed and occupied on September 30, 2020, is expected to have a 30-year useful life. |
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| 3. | A third tract of land (No. 623) was acquired for $264,880 and was put on the market for resale. | ||||||||||||||||
| 4. | During December 2020, costs of $88,750 were incurred to improve leased office space. The related lease will terminate on December 31, 2022, and is not expected to be renewed. | ||||||||||||||||
| 5. | Equipment was purchased under a royalty agreement. The terms of the agreement require Marigold Corporation to pay royalties based on the units of production for the equipment. The equipment’s invoice price was $110,860, freight costs were $3,250, installation costs were $3,210, and royalty payments for 2020 were $15,250. |
(a)
Calculate the balance at December 31, 2020 in each of the following
accounts: Land, Leasehold Improvements, Buildings—Structure,
Buildings—Roof, and Equipment. Ignore the related Accumulated
Depreciation accounts.
| Land | $ | ||
| Leasehold Improvements | $ | ||
| Buildings—Structure | $ | ||
| Buildings—Roof | $ | ||
| Equipment | $ |
In: Accounting