<\/p>\n
1.G issued $5,000,000 of 6%, 5-year convertible bonds on 07-01-14 when the market rate for similar bonds was 6.25%. The bonds were dated 07-01-14 with interest payable January 01 and July 01. G incurred and paid $105,000 of bond issuance costs. On 07-01-16 after making all of its interest payments, 60% of the bonds were converted into 9,000 shares of G\u2019s $0.01 par value common stock. G only prepares AJEs every December 31. Prepare the entries G should make on:<\/p>\n
(a) 07-01-14<\/p>\n
(b) 12-31-14<\/p>\n
(c) 01-01-15<\/p>\n
(d) 07-01-15<\/p>\n
(e) 07-01-16<\/p>\n
(f) 12-31-16<\/p>\n
(g) 01-01-17<\/p>\n
2.On 01-01-15, J had 800,000 shares of common stock issued and outstanding. The following occurred during 2015:<\/p>\n
\u2022On March 1, J\u2019s employees exercised 12,000 stock options at an exercise price of $25 per share. Each option allowed the employee to acquire one share of J\u2019s common stock.<\/p>\n
\u2022On August 1, J declared and distributed a 10% stock dividend.<\/p>\n
\u2022On October 1, J reacquired 15,000 shares of its common stock.<\/p>\n
\u2022On December 1, J issued 5,000 shares of its treasury stock.<\/p>\n
J\u2019s net income for 2015 was $3,400,000. What will J report as basic EPS for the year ended 12-31-15?ROUND TO NEAREST PENNY.<\/p>\n
3.On 01-01-14, H had 2,820,000 shares of common stock issued and outstanding and 25,000 shares of 5%, $50 par value cumulative preferred stock issued and outstanding. On 09-30-14, H issued 240,000 shares of its common stock for $63 per share. H\u2019s net income for 2014 was $3,246,000. During 2014 H paid no dividends. H\u2019s income tax rate is 24%.<\/p>\n
\u2022As of 12-31-14, H had $3,000,000 of 5%, 10-year convertible bonds outstanding. H issued the bonds at par during 2011. The bonds can be converted into 40,000 shares of H\u2019s common stock.<\/p>\n
\u2022As of 12-31-14, H had $5,000,000 of 10%, 15-year convertible bonds. H issued the bonds at par during 2004. The bonds can be converted into 90,000 shares of H\u2019s common stock.<\/p>\n
\u2022As of 12-31-14, H had $6,000,000 of 17%, 40-year convertible bonds. H issued the bonds at par during 1980. The bonds can be converted into 100,000 shares of H\u2019s common stock.<\/p>\n
\u2022During the entire year ending 12-31-14, H had 240,000 outstanding and exercisable employee stock options that were granted to employees during 2013. Each option has an exercise price of $48 per share of H common stock. During 2014, the average market price of H\u2019s common stock was $60 per share.<\/p>\n
\u2022During the entire year ending 12-31-14, H had 120,000 outstanding and exercisable employee stock options that were granted to employees during 2010. Each option has an exercise price of $62 per share of H common stock. <\/p>\n
What will H report as basic EPS for the year ended 12-31-14?ROUND TO NEAREST PENNY.<\/p>\n
What will H report as diluted EPS for the year ended 12-31-14?ROUND TO NEAREST PENNY.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"
1.G issued $5,000,000 of 6%, 5-year convertible bonds on 07-01-14 when the market rate for similar bonds was 6.25%. The bonds were dated 07-01-14 with interest payable January 01 and July 01. G incurred and paid $105,000 of bond issuance costs. On 07-01-16 after making all of its interest payments, 60% of the bonds were […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_joinchat":[]},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/161183"}],"collection":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/comments?post=161183"}],"version-history":[{"count":0,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/posts\/161183\/revisions"}],"wp:attachment":[{"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/media?parent=161183"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/categories?post=161183"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/qualityassignments.net\/wp-json\/wp\/v2\/tags?post=161183"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}