Week_1_Andrew_J - Module 1 Rubric Application of correct...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Module 1 Rubric 2-11 60% 3 1.8 2-26 40% 3 1.2 Total 6.0 3.0 Application of correct analytical process and accuracy of final answer Percent of Total Total Possible Total Points earned
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
A. What was Mountain Air’s net income for fiscal 2009? B. How many new shares did the corporation issue and sell during the year? C. At what average price per share did the new stock sold during 2009 sell? D. At what price per share did Mountain Air’s original 500,000 shares sell? A. Retained earnings (RE) = Net income - Dividends 1500000= x - 200,000 x = 1500000 200,000 x= 1,700,000 Net Income= 1,700,000 Please see my answers B. How many new shares did the corporation issue and sell during the year? New Shares= the change in outstanding shares between the two years Outstanding (2009)= 1,500,000 Outstanding (2008)= 500,000 New Shares= 1,000,000 ` C. At what average price per share did the new stock sold during 2009 sell? Average price per share = change in paid-in-capital account and the change in outstanding s Change in paid-in-capital account= 4,500,000 Change in outstanding shares= 1,500,000 New shares issued= 1,000,000 Average price per share = $3.00 Please see my answers D. At what price per share did Mountain Air’s original 500,000 shares sell? Original issuance price= Paid-in-capital account + common stock account/ by the original nu Paid-in-capital account= 4,500,000 Common stock account = $1.00 Original shares =
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 04/22/2011 for the course FIN & ACC 504 & 502 taught by Professor Harper&tai during the Spring '11 term at Grand Canyon.

Page1 / 7

Week_1_Andrew_J - Module 1 Rubric Application of correct...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online