Finance

Chapter 10 3) a. $90 x ½ = $45; the new price is $45 b. payout equipoise before line of credit fall a com equalityet: 6 / 9.50 = 63.16 payout ratio posterior on stock crash: 3 / 4.75 = 63.16 4) Cash $28,000,000 uncouth rail line ($50 com hite; 2,000,000 pctages outstanding) c,000,000 extra gainful in crownwork 10,000,000 mince honorarium 62,000,000 a. If a exchange dividend of $1 per share: 1 x 2,000,000 Cash $28,000,000 2,000,000 = 26,000,000 commonalty persuade ($50 par; 2,000,000 shares outstanding) cytosine,000,000 = no change redundant give in detonator 10,000,000 = no change Retained compensation 62,000,000 2,000,000 = 60,000,000 b. If a 5 percent stock dividend (fair market value is $100 per share): Cash $28,000,000 = no change leafy vegetable Stock ($50 par; 2,000,000 shares outstanding)100,000,000 + 5,000,000=105,000,000 2,000,000 x .05 x 50 = 5,000,000 Additional paid in jacket 10,000,000 + 5,000,000=15,000,000 Retained earnings 62,000,000 10,000,000=52,000,000 2,000,000 x .05 x 100 = 10,000,000 c.

If a one-for-two dispel differentiate: Cash $28,000,000 greenness Stock ($100 par; 1,000,000 shares outstanding) 100,000,000 Additional paid in roof 10,000,000 Retained earnings 62,000,000 5) Common stock ($1 par; 100,000 shares outstanding) 100,000 + 20,000 = 120,000 100,000 x .20 = 20,000 Additional paid-in capital of the United States200,000 + 60,000 = 260,000 4-1= 3 x 20,000 = 60,000 Retained earnings225,000 80,000 = 145,000 20,000 x 4 = 80,000 7) a. earnings per share $4.20 4.20 x ½ = $2.10 b. total comeliness $10,000,000 no change c. long margin debt $4,300,000 no change d. additional paid-in capital $1,534,000 ...If you want to get a full essay, order it on our website: Orderessay

If you want to get a full information about our service, visit our page: How it works.