Reference no: EM132956243

Problem - Vivadefix Company owned 30,000 of Ben Company's 100,000 issued shares and 6,000 of Amal Company's 300,000 issued shares in 2021. Vivadefix obtained a $300,000 cash dividend from Ben, a $15,000 cash dividend from Amal, and a 3% stock dividend from Vivadefix throughout the year. Amal's closing price is $150. How much dividend income could be reported in 2021? On March 1, 2021, Herochief Company acquired 10,000 common shares of LV at an average price of $80 per share. Herochief issued 10,000 stock rights on September 30, 2021, with the option to buy a further 10,000 securities at a price of $90 per share. The stock rights is set to expire on February 1, 2022. On September 30, 2021, the market valuation of LVC's stake was $95 and the stock right was $5. What percentage does Herochief announce as an expenditure in stock rights in its September 30, 2021 company's balance sheet? Wave Value Company holds 30,000 common shares of King Company, which it purchased on July 31, 2021 for a total price of $1,100,000. Wave Value issued 30,000 stock rights from King on December 1, 2021. Each right entitles the holder to buy one share of the company at a price of $45. On this year, the market price of the King's share was $50, and the market price of each right was $10. On December 31, 2021, Wave Value sold its rights for $450,000 less a $10,000 fee. How much gain from the selling of the copyright could be reported? Cope Favor Company is owned by Vaughn Company, which holds 50,000 ordinary securities. Vaughn acquired these 50,000 shares in 2009 for $120 per share. Cope Favor allocated 50,000 stock rights to Vaughn on August 30, 2021. For $90 in cash and two of these rights, Vaughn was allowed to purchase one new share of Cope Favor Company. On August 30, 2021, each share was worth $130 and each right was worth $20. What is the net expense of the new securities purchased by Adam by the exercise of his rights?