会计学企业决策的基础 课后习题 答案 chapter11

9,000,000 ' equity-preferred stock)/shares of common
ermine the market value.We can only get the par value r value only represents the legal capital per sharefrom business operations.Although the book value is of a stock,the market value is also affected by the a profit,the interest rate and overexpectation as to this level of profitability may not be achieved.
Retained earning Total stockholders' equity
Retained Earnings,Jan,1,2009 Add:Net income earned in Dec,2009 subtotal Less:Dividends declare in Dec ,2009
ry)，85000 outstanding
1,000,000
800,000 30,000 1,830,000 120,000 1,950,000 300,000 1,650,000 ck split, the amount of shares of common stock would
unt below which cannot be reduced,except by losses ed by each share of stock,which is the historical e market value of the stock,which represents the s quit low. However the corporation can set par value indicated either that the stock initially was issued investors believe that management and product lines any's creditors.On the other hand, a market value of
E.11.14 a.Stockholders' equity
Common stock,$10 par value, authorized 200,000 shares, issued 100,000 shares(of which 15,000 are hold in treasury)，85000 outstanding Additional paid-in capital: Common stock Treasury stock Total paid-in capital Retained earning Subtotal Less:Treasury stock(15,000shares of common, at $20 cost) Total stockholders' equity b.As the declaration and the distribution of a 2-for-1 stock split, the amount of shares o
f.It impossible for us to use the information above to determine the market value.We can o and the book value of the stocks from the balance sheet.Par value only represents the lega the amount below which cannot be reduced,except by losses from business operations.Althoug used in evaluating the reasonableness of the market price of a stock,the market value is a dividend rate,the risk-the investors have to take to gain a profit,the interest rate and o the future profitability of the business and the risk that this level of profitability may
chapter 11
E11.5 a.Shares of preferred capital=capital stock of preferred capital/par value=15,000,000/100= b.Annual dividends=15,000,000*7%=1,050,000 c.Average issuance price per share of common stock=(44,000,000+20,000,000)/4,000,000=16 d.Legal capital=15,000,000+20,000,000=35,000,000
Retained Earnintion Statement of Retained Earnings
Dec.31,2009
b.Book value per value =590000/50000=11.8 c.The purchase of $35,000 treasury stock,in 2008, will cause a cash outflow which is recor
oration ined Earnings 2009
50,000
350,000 5,000
405,000 185,000 590,000
107,000 78,000 185,000
0 185,000
se a cash outflow which is recorded in the item of use a cash inflow which is recorded in the item of
P11.7A a.Par value represents the legal capital per share-the amount below which cannot be reduce Book value per share is the amount of net assets represented by each share of stock,which The price at which these shares change hands represents the market value of the stock,whic b.The company's par value-one tenth of a cent per share-is quit low. However the corporat The fact that book value per share is far above par value indicated either that the stock The market value is ten times book value.This implies that investors believe that manageme he very low par value offers little protection to the company's creditors.On the other han
Total paid-in capital=15,000,000+20,000,000+44,000,000=79,000,000 e.Book value per share of common stock=(total stockholders' equity-preferred stock)/shares stock=(143,450.000-15,000,000)/4,000,000≈32.11
The reissuance of $40,000 treasury stock,in 2009,will cause a cash inflow which is recor
er 11
apital/par value=15,000,000/100=150,000
,000+20,000,000)/4,000,000=16
P11.8A
a.Stockholders' equity Common stock,$1 par value, authorized and issued 50,000 shares,
Additional paid-in capital: Common stock Treasury stock Total paid-in capital