Fi_1 - E) The market price of Glenn's stock doubled in...

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12.  Below is the common equity section (in millions) of Glenn Technology's last two year-end balance sheets:     2005 2004   Common stock  2,000 1,000   Retained earnings     2,000         2,340       Total common equity $4,080 $3,420 Glenn has never paid a dividend to its common stockholders. Which of the following statements is CORRECT? A)  Glenn had positive net income in both 2004 and 2005, but the company's net income in 2005 was lower than it was in 2004. B)  Glenn issued common stock in 2005. C)  The company's net income in 2005 was higher than in 2004. D)  The company has more equity than debt on its balance sheet.
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Unformatted text preview: E) The market price of Glenn's stock doubled in 2005. Points Earned: 0.0/5.0 Correct Answer(s): B 13. Temple Square Inc. reported that its retained earnings for 2005 were $490,000. In its 2006 financial statements, it reported $60,000 of net income, and it ended 2006 with $510,000 of retained earnings. How much were paid as dividends to shareholders during 2006? A) $35,000 B) $40,000 C) $25,000 D) $30,000 E) $20,000 Points Earned: 5.0/5.0 Correct Answer(s): B...
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