+1835 731 5494 Email: instantessays65@gmail.com

stockholders’ equity section of the balance sheet

$12.99

stockholders’ equity section of the balance sheet 1. The retained earnings statement a. is the owners’ equity statement for a corporation. b. will show an addition to the beginning retained earnings balance for an understatement of net income in a prior year. c. will not reflect net losses. d. will, in some cases, fail to reconcile the beginning and ending retained earnings balances. 2. In the stockholders’ equity section of the balance sheet, a. Common Stock Dividends Distributable will be classified as part of additional paid-in capital. b. Common Stock Dividends Distributable will appear in its own subsection of the stock- holders’ equity. c. Additional Paid-in Capital appears under the subsection Paid-in Capital. d. Dividends in arrears will appear as a restriction of Retained Earnings. 3. The return on common stockholders’ equity is computed by dividing net income available to common stockholders by a. ending total stockholders’ equity. b. ending common stockholders’ equity. c. average total stockholders’ equity. d. average common stockholders’ equity. 4. The return on common stockholders’ equity is computed by dividing a. net income by ending common stockholders’ equity. b. net income by average common stockholders’ equity. c. net income less preferred dividends by ending common stockholders’ equity. d. net income less preferred dividends by average common stockholders’ equity. 5. Kong Inc. reported net income of $270,000 during 2013 and paid dividends of $26,000 on common stock. It also has 10,000 shares of 6%, $100 par value cumulative preferred stock outstanding. Common stockholders’ equity was $1,200,000 on January 1, 2013, and $1,600,000 on December 31, 2013. The company’s return on common stockholders’ equity for 2013 is: a. 17.4% b. 15.0% c. 13.1% d. 19.3% Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help

Reviews

There are no reviews yet.

Be the first to review “stockholders’ equity section of the balance sheet”

Your email address will not be published. Required fields are marked *