The stockholders’ equity of TVX Company at the beginning of the day on February 5 follows: Common stock—$5 par value, 150,000 shares authorized, 55,000 shares issued and outstanding $ 275,000 Paid-in capital in excess of par value, common stock 525,000 Retained earnings 675,000 Total stockholders’ equity $ 1,475,000 On February 5, the directors declare a 12% stock dividend distributable on February 28 to the February 15 stockholders of record. The stock’s market value is $45 per share on February 5 before the stock dividend. The stock’s market value is $40 per share on February 28.
1. Prepare entries to record both the dividend
declaration and its distribution.
2. One stockholder owned 650 shares on February 5
before the dividend. Compute the book value per share and total
book value of this stockholder’s shares immediately before and
after the stock dividend of February 5. (Round your "Book
value per share" answers to 3 decimal places.)
3. Compute the total market value of the
investor’s shares in part 2 as of February 5 and February
28.
In: Accounting
A horizontal spring with a spring constant of 190 N/cm is compressed 6.3 cm. A wooden block with a mass of 1.5 kg is placed in front of and in contact with the spring. When the spring is released it pushes the block, which slides on a frictionless horizontal surface for some distance. The block then slides up a frictionless incline of 27 above the horizontal and comes to a momentary stop before sliding back down. The system is the spring, the block, the incline, and the Earth. Ignore air resistance. A) Sketch the situation and label all variables for: i. the spring and block before the spring is released ii. the block sliding on the horizontal surface iii. the block sliding up the incline B) List all known quantities. C) Draw the free body diagram for the block sliding up the incline. D) What is the potential energy of the spring before it is released? E) What is the kinetic energy and the speed of the block as it slides on the horizontal surface after the spring has pushed it? F) At what height does the block stop on the incline? G) If the incline were rough, how would the stopping height of the block compare to the stopping height when the incline is frictionless? Explain using energy.
In: Physics
A horizontal spring with a spring constant of 190 N/cm is compressed 6.3 cm. A wooden block with a mass of 1.5 kg is placed in front of and in contact with the spring. When the spring is released it pushes the block, which slides on a frictionless horizontal surface for some distance. The block then slides up a frictionless incline of 27 above the horizontal and comes to a momentary stop before sliding back down. The system is the spring, the block, the incline, and the Earth. Ignore air resistance.
A) Sketch the situation and label all variables for: i. the spring and block before the spring is released ii. the block sliding on the horizontal surface iii. the block sliding up the incline
B) List all known quantities.
C) Draw the free body diagram for the block sliding up the incline.
D) What is the potential energy of the spring before it is released?
E) What is the kinetic energy and the speed of the block as it slides on the horizontal surface after the spring has pushed it?
F) At what height does the block stop on the incline?
G) If the incline were rough, how would the stopping height of the block compare to the stopping height when the incline is frictionless? Explain using energy.
In: Physics
Analyzing, Forecasting, and Interpreting Both Income Statement
and Balance Sheet
Following are the income statements and balance sheets of General
Mills, Inc.
| Income Statement, Fiscal Years Ended ($ millions) |
May 29, 2011 | May 30, 2010 |
|---|---|---|
| Net Sales | $ 14,880.2 | $ 14,635.6 |
| Cost of sales | 8,926.7 | 8,835.4 |
| Selling, general and administrative expenses | 3,192.0 | 3,162.7 |
| Divestitures (gain), net | (17.4) | -- |
| Restructuring, impairment, and other exit costs | 4.4 | 31.4 |
| Operating income | 2,774.5 | 2,606.1 |
| Interest, net | 346.3 | 401.6 |
| Earnings before income tax expense and equity in income of affiliates | 2,428.2 | 2,204.5 |
| Income tax expense | 721.1 | 771.2 |
| After-tax earnings from joint ventures | 96.4 | 101.7 |
| Net earnings including noncontrolling interests | 1,803.5 | 1,535.0 |
| Net earnings attributable to noncontrolling interests | 5.2 | 4.5 |
| Net earnings attributable to General Mills | $ 1,798.3 | $ 1,530.5 |
| Balance Sheet ($ millions) |
May 29, 2011 | May 30, 2010 |
|---|---|---|
| Assets | ||
| Cash and cash equivalents | $ 619.6 | $ 673.2 |
| Receivables | 1,162.3 | 1,041.6 |
| Inventories | 1,609.3 | 1,344.0 |
| Deferred income taxes | 27.3 | 42.7 |
| Prepaid expenses and other current assets | 483.5 | 378.5 |
| Total current assets | 3,902.0 | 3,480.0 |
| Land, buildings and equipment | 3,345.9 | 3,127.7 |
| Goodwill | 6,750.8 | 6,592.8 |
| Other intangible assets | 3,813.3 | 3,715.0 |
| Other assets | 862.5 | 763.4 |
| Total assets | $ 18,674.5 | $ 17,678.9 |
| Liabilities and Equity | ||
| Accounts payable | $ 995.1 | $ 849.5 |
| Current portion of long-term debt | 1,031.3 | 107.3 |
| Notes payable | 311.3 | 1,050.1 |
| Other current liabilities | 1,321.5 | 1,762.2 |
| Total current liabilities | 3,659.2 | 3,769.1 |
| Long-term debt | 5,542.5 | 5,268.5 |
| Deferred income taxes | 1,127.4 | 874.6 |
| Other liabilities | 1,733.2 | 2,118.7 |
| Total liabilities | 12,062.3 | 12,030.9 |
| Stockholders' equity | ||
| Common stock, 754.6 shares issued, $0.10 par value | 75.5 | 75.5 |
| Additional paid-in capital | 1,319.8 | 1,307.1 |
| Retained earnings | 9,191.3 | 8,122.4 |
| Common stock in treasury, at cost, shares of 109.8 and 98.1 | (3,210.3) | (2,615.2) |
| Accumulated other comprehensive loss | (1,010.8) | (1,486.9) |
| Total shareholders' equity | 6,365.5 | 5,402.9 |
| Noncontrolling interests | 246.7 | 245.1 |
| Total equity | 6,612.2 | 5,648.0 |
| Total Liabilities and Equity | $ 18,674.5 | $ 17,678.9 |
Forecast General Mill's fiscal 2012 income statement using the
following relations (assume "no change" for accounts not
listed).
| Net sales growth | 6.0% |
| Cost of sales/Net sales | 60.0% |
| Selling, general and administrative expenses/Net sales | 21.5% |
| Divestitures (gain), net | $-- |
| Restructuring, impairment, and other exit costs | $-- |
| Interest, net | $346.3 |
| Income tax expense/Pretax income | 29.7% |
| After-tax earnings from joint ventures | $96.4 |
| Net earnings attributable to noncontrolling interests/Net earnings before attribution | 0.5% |
Round all answers to one decimal place.
Do not use negative signs with your answers.
| Income Statement, Fiscal Years Ended ($ millions) | 2012 Estimated |
|---|---|
| Net sales | Answer |
| Cost of goods sold | Answer |
| Selling, general and administrative expenses | Answer |
| Divestitures (gain), net | Answer |
| Restructuring, impairment, and other exit costs | Answer |
| Operating income | Answer |
| Interest expense | Answer |
| Earnings before income tax expense and equity in income of affiliates | Answer |
| Income tax expense | Answer |
| Equity in income of affiliates | Answer |
| Net earnings including noncontrolling interests | Answer |
| Net earnings attributable to noncontrolling interests | Answer |
| Net earnings attributable to General Mills | Answer |
Forecast General Mill's fiscal 2012 balance sheet using the
following relations (assume"no change" for accounts not listed).
Assume that all capital expenditures are purchases of land,
building and equipment, net. ($ millions).
| Receivables/Net sales | 7.8% |
| Inventories/Net sales | 10.8% |
| Deferred income tax/Net sales | 0.2% |
| Prepaid expenses and other current assets/Net sales | 3.2% |
| Other intangible assets | $0 amortization |
| Other Assets/Net sales | 5.8% |
| Accounts payable/Net sales | 6.7% |
| Other current liabilities/Net sales | 8.9% |
| Current portion of long-term debt | $733.6 |
| Deferred income taxes/Net sales | 7.6% |
| Other liabilities/Net sales | 11.6% |
| Noncontrolling interests | * |
| Capital expenditures/Net sales | 4.4% |
| Depreciation/Prior year net PPE | 20.7% |
| Dividends/Net income | 40.6% |
| Current maturities of long-term debt in fiscal 2013 | $733.6 |
| *increase by net income attributable to noncontrolling interests and assume no dividends |
Round answers to one decimal place.
Do not negative signs with your answers.
| Balance Sheet ($ millions) |
2012 Estimated |
|---|---|
| Assets | |
| Cash and cash equivalents | Answer |
| Receivables | Answer |
| Inventories | Answer |
| Deferred income taxes | Answer |
| Prepaid expenses and other | Answer |
| Total current assets | Answer |
| Land, buildings, and equipment | Answer |
| Goodwill | Answer |
| Other intangible assets | Answer |
| Other assets | Answer |
| Total assets | Answer |
| Liabilities and equity | |
| Accounts payable | Answer |
| Current portion of long-term debt | Answer |
| Notes payable | Answer |
| Other current liabilities | Answer |
| Total current liabilities | Answer |
| Total long-term debt | Answer |
| Deferred income taxes | Answer |
| Other liabilities | Answer |
| Total liabilities | Answer |
| Stockholders equity | |
| Common stock | Answer |
| Additional paid-in capital | Answer |
| Retained earnings | Answer |
| Common stock in treasury | Answer |
| Accumulated other comprehensive loss | Answer |
| Total shareholders' equity | Answer |
| Noncontrolling interests | Answer |
| Total equity | Answer |
| Total liabilities and Equity | Answer |
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In: Accounting
1. As a stockholder in Randolph Corporation, you receive its annual report. In the financial statements, Randolph has reported that the after-tax (net) income is $300 million. With 150 million shares of common stock outstanding, Randolph announced to distribute $100 million of dividends to its shareholders. The stock is now sold for $20 per share.
a. Assume that Randolph Corporation does not have any outstanding debt. The current share price reflects the fair value of the Corporation.
i. Find the market value of Randolph Corporation before the ex-dividend date,
ii. Find the market value of Randolph Corporation after the ex-dividend date,
iii. Find the price per share of Randolph Corporation after the ex-dividend date,
iv. Calculate the value of investor’s wealth who holds 4,000 shares of Randolph Corporation before the ex-dividend date,
v. Calculate the dividend income of an investor who holds 4,000 shares of Randolph Corporation until the ex-dividend date,
vi. Calculate the value of shareholding on the ex-dividend date of an investor who holds 4,000 shares of Randolph Corporation.
b. Based on your answers in part C to answer the following
question.
Does it matter for the investor to sell his shares before the
ex-dividend date or to hold his shares until the ex-dividend date
which enables him to receive dividend? Assume the dividend is paid
on the ex-dividend date.
2. You are considering the purchase of a stock that is currently
selling at $64 per share. You expect the stock to pay $4.5 in
dividends next year.
a. If dividends are expected to grow at a constant rate of 3
percent per year, what is your expected rate of return on this
stock?
b. If dividends are expected to grow at a constant rate of 5
percent per year, what is your expected rate of return on this
stock?
c. What do your answers to part (a) and part (b) indicate about the
impact of dividend growth rates on expected rate of returns on
stocks?
vvv3. You are considering the purchase of a stock that is currently
selling at $64 per share. You expect the stock to pay $4.5 in
dividends next year.
a. If dividends are expected to grow at a constant rate of 3
percent per year, what is your expected rate of return on this
stock?
b. If dividends are expected to grow at a constant rate of 5
percent per year, what is your expected rate of return on this
stock?
c. What do your answers to part (a) and part (b) indicate about the
impact of dividend growth rates on expected rate of returns on
stocks?
3. How do corporate stocks differ from bonds? Explain.
4. Icy Candy announces a 1 for 8 bonus issues. Icing Candy
shares are trading at $9.00 before the bonus issue.
a. Calculate the theoretical price of Icing Candy’s shares
immediately after the bonus issue.
b. Casper has 1,000 shares in Icy Candy before Icing Candy
announced the 1 for 8 bonus issue.
i. How many bonus shares will Casper entitle to?
ii. Find the value of Casper’s stockholding in Icy Candy before and
after the bonus issue.
5. Eason plans to open a do-it-yourself dog bathing center in
Petland. The bathing equipment will cost $50,000.
Eason expects the after-tax cash inflows to be $15,000 annually for
8 years, after which he plans to scrap the equipment.
a. Find the project’s payback period.
b. What is the project’s discounted payback period if the required
rate of return is 10%?
c. What is the project’s net present value (NPV) if the required
rate of return is 10%?
d. What is the project’s Profitability Index (PI) if the required
rate of return is 20%? Should the project be accepted according to
the rule of PI?
6. Your firm is considering the launch of a new product, the
KPOP11. The upfront development cost is $1,000,000., and you expect
to earn a cash flow of $300,000. per year for the next five
years.
a. Draw the Net Present Value (NPV) profile for the new project
KPOP11 for discount rates ranging from 0%, 5%. 10%, 15% to
20%.
b. Determine the range of discount rates showing that the project
is acceptable. (N.B. NPV values at vertical axis whilst the
discount rates at horizontal axis)
7. Consider the following two bonds:
| Bond A | Bond B | |
| Maturity | 15 years | 20 years |
| Coupon Rate(paid semiannually) | 10% | 6% |
| Par Value | $1,000 | $1,000 |
a. If both bonds had a required return of 8%, what would the bonds’
prices be (Bond A and Bond B respectively)?
b. With reference to your answers in (a), are these two bonds (Bond
A and Bond B respectively) selling at a discount, premium, or
par?
c. If the required return on the two bonds (Bond A and Bond B
respectively) rose to 10%, what would the bonds’ prices be?
d. What do your answers in part (a) and part (c) indicate about the
relation between the required rates of return and prices (present
values) of bonds?
In: Finance
1. Brandon asks you what he should eat right after his morning strengthening workout. What would you tell him? What would be some general tips that you would tell him? Also, provide him with a sample breakfast and determine how many grams of carbohydrates, protein, and fat it would consist of.
2. Brandon is now in season and needs some help with pre- and post-game meals. His games are usually around 7 p.m. What would be your recommendation in terms of meals? Provide an example of a pre-game meal (about 3 to 4 hours before game time) and a post-game meal (about 1 hour after game time). How many grams of carbohydrates, protein, and fat would each consist of?
In: Nursing
Consider the dissociation of aqueous HCN at 25°C:
HCN(aq) --> H+(aq) + CN–(aq) K =
6.2×10–10 .
a) Compute ΔG° at 25°C.
b) If 0.120 mol of HCN is dissolved to make 200. mL of solution, then what are the equilibrium concentrations of all of the species?
c) Suppose 0.040 mol of HCN is dissolved in the same solution without appreciably increasing the volume. Compute the derivative dG/dξ for the system before it has a chance to re-establish equilibrium. Use this result to predict the spontaneous direction of reaction. (Justify the answer.)
d) Based on Le Chatelier's principle, which is the spontaneous direction of reaction after addition of the HCN? Explain qualitatively.
e) What are the new concentrations of all species after equilibrium is re-established?
In: Chemistry
*Can you explain the results and consumption stream also?*
1.The difference between a Roth IRA and a traditional IRA is that in a Roth IRA taxes are paid on the income that is contributed but the withdrawals at retirement are tax-free. In a traditional IRA, however, the contributions reduce your taxable income, but the withdrawals at retirement are taxable. Assume you plan to devote $5,000 to retirement savings in each year. You will retire in 30 years and expect to live for an additional 20 years after retirement.
a. Assume the before-tax interest rate is 5%. What will be your after-tax 20-year retirement consumption stream if you choose to save in a traditional IRA? Assume your tax rate is fixed at 30%.
b. What will be your 20-year retirement consumption stream if you choose to save in a Roth IRA?
In: Accounting
1) What are the advantages and disadvantages of microscale vs macroscale in the Organic laboratory?Think about some of the unique skills you have developed using microscale. Think about improved safety involved using microscale. Also think about things that were frustrating dealing with small quantities.
2) What are the advantages of writing your procedure immediately after performing an operation as opposed to writing it before doing the lab or even a day after doing the lab?
3) Why is it important to properly reference sources of information?
4) Define proper care and use of the following pieces of equipment or chemicals. autodelivery pipette, moisture sensitive chemicals ,salt plates toxic chemicals ,drying tubes ,melting point apparatus ,refractometer, thermometers, glassware ,syringes.
In: Chemistry
Section 179. (Obj. 2) Sand Corporation buys one asset in 2018---machinery costing $32,300,000. The machine was placed in service on June 2, 2018. Sand wants to elect the maximum Section 179 possible, even if some must be carried over to 2019. Sand's 2018 business income limitation (taxable income before Section 179 expense, but after all other expenses, including depreciation) is $167,000. A) Compute the maximum Section 179 Sand can elect to expense in 2018, the actual allowed 2018 expense deduction, and the Section 179 carryover to 2019. B) What is the regular depreciation deduction on the machine (7-year property; half-year convention) after taking into account the maximum section 179 deduction and assuming no bonus depreciation is clamied?
In: Accounting