How would the accounts change

Assignment Help Corporate Finance
Reference no: EM13197244

1. Stock Dividends.  The owners' equity account ts for Trans World International are shown here:

Common stock ($1 par value)                       $30,000

Capital surplus                                               185,000

Retained earnings                                          610,000

Total owners' equity                                    $825,000

a. If Trans World stock currently sells for $42 per share and a 10 percent stock dividend is declared, how many new shares will be distributed? Show how the equity accounts would change.

b. If Trans World declared a 25 percent stock dividend, how would the accounts change?

Reference no: EM13197244

Questions Cloud

Discus capital market expectations : Discus capital market expectations for different asset classes .For example, show your estimates for U.S. large-cap, U.S. small-cap, etc.
Which process completes second and why : Process 1 with a run time of 40 seconds, a priority of 1, and it will require 20 seconds of I/O after 20 seconds of execution. Process 2 with a run time of 15 seconds and a priority of 2. Process 3 with a run time of 25 seconds, a priority of 2.
What will the radius of this larger sphere be : A jeweler has three small solid spheres made of silver, of radius 3 mm, 5 mm, and 3 mm. He decides to melt these down and make just one sphere out of them. What will the radius of this larger sphere be?
How many of selections will contain no defective calculators : An electronic store receives a shipment of 30 graphing calculators, including 6 that are defective. Four of these calculators are selected to be sent to a local high school. How many selections can be made? How many of this selections will contain..
How would the accounts change : If Trans World stock currently sells for $42 per share and a 10 percent stock dividend is declared, how many new shares will be distributed? Show how the equity accounts would change.
State strategies of organizational leadership : The purpose of the Summary Project is for you to culminate the learning achieved by describing your understanding and application of knowledge in the field of strategies of organizational leadership.
Which the light projected onto the wall : A rotating light is located 19 feet from a wall. The light completes one rotation every 3 seconds. Find the rate at which the light projected onto the wall is moving along the wall when the light's angle is 20 degrees from perpendicular to the wal..
Explain culture and the terms related to culture : Define culture and explain the terms related to culture. Define and describe ethnocentrism and prejudice. Give personal examples to support your descriptions
Find the scale used to create the model : Find the scale used to create the model. The scale modcel of a 45-inch tall bookcase is 2.5 inches tall.

Reviews

Write a Review

Corporate Finance Questions & Answers

  Estimation of maximize profit

Abotte Products manufactures three items, A, B, and C. The corporation can sell up to 300 pounds of each product at the following prices; estimate how Abotte can maximize its profit.

  Explain what is yield that jane would earn

Explain what is the yield that Jane would earn by buying it at this price and holding it to maturity?

  Case study:cartwright lumber company

The short-form forecasting model (Q1 tab) shows 2003 as the base year (historical) and five forecast years, 2004-08. The forecast assumptions are entered for you in C4.G15. Show your understanding of the short-form forecasting model by answering the ..

  Corporate and market betas differ for the project

Why do the corporate and market betas differ for the same project and what is the overall corporate beta of Apex Health Services? Is the calculated beta consistent with the corporate risk theory?

  How many ties and scarfs should the firm

Computation of quantity to obtain required profit per process - How many ties and scarfs should the firm make to maximize its profit if they obtain $3?

  Find the best ways to diversify a portfolio

Discuss the benefits and limitations of portfolio diversification and explain how risk is assessed and what methods are most appropriate for measuring systematic & unsystematic risks.

  Shares of common stock to the public

Evaluate how much cash will Aaron's Sailboats receive from its first public offering - shares of common stock to the public.

  Find the expected return on siebling''s common stock

Select the best option of Investment among various interest compounding and find the expected return on Siebling's common stock?

  Valuation of stock through growth model

Valuation of stock through growth model - Are the PVGO figures correlated with the analyst estimated EPS growth rates? Would you think these two "growth" metrics should be correlated? Why or why not?

  Calculate net asset value for boston equity mutual fund

What was the return on his $200,000 investment and calculating Net Asset Value. Given the information below, calculate the net asset value for the Boston Equity mutual fund.

  Investment comparison problems

This Assignment consists Investment Comparison Problems.

  Securitization of mortgages

Securitization of mortgages allow various dimensions of risks embedded in pools of mortgages to be share to investors with varying degrees of tolerance for credit and interest rate risk

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd