Owners.equity without PS_1_

Owners.equity without PS_1_ - Building (at m.v.) …....

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Issuance of common stock (C/S) 1. For cash: Sold 1000shares at $100 /sh., par value : $10/sh Cash 100,000 C/S-at par 10,000 Add’l PIC 90,000 = Paid in capital in excess of par Both shown under owner’s equity in B/S and add up to PIC. 2. For assets other than cash: recorded at fair market value of assets given or of stock issued, whichever is more clearly determinable (assume building is exchanged for 3000 shares)
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Unformatted text preview: Building (at m.v.) …. 240,000 C/S- at par ------------------30,000 Add’l PIC-------------------210,000 Market Value ratios Book Value (BV) of Owners’ Equity: Net Assets (assets-liabilities) BV = # of common stocks outstanding Market - to-book ratio: sh BVE sh MVE / / Price Earnings Ratio: Price/sh Earnings/sh...
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This note was uploaded on 03/16/2012 for the course FENS 101 taught by Professor Selçukerdem during the Fall '12 term at Sabancı University.

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