1)For 2017, Stoneland Corporation reported net income, $24,000; net sales, $400,000; and average shares outstanding, 6,000. There were no preferred stock dividends. How much was the 2017 earnings per share?
2)The following ratios are available for Leer Inc. and Stable Inc.
Current Ratio Debt to Assets RatioEarnings per ShareLeer Inc.2:175%$3.50Stable Inc.1.5:140%$2.75
Compared to Stable Inc., Leer Inc. has
-higher liquidity, lower solvency, and higher profitability.
-lower liquidity, higher solvency, and higher profitability.
-higher liquidity, higher solvency, but profitability cannot be compared based on information provided.
-higher liquidity and lower solvency, but profitability cannot be compared based on information provided.
3)At December 31, 2017, Shorts Company had retained earnings of $2,184,000. During 2017, the company issued stock for $98,000, and paid dividends of $34,000. Net income for 2017 was $402,000. How much was the retained earnings balance at the beginning of 2017?
4)Which of the following ratios measures the ability of the company to survive over a long period of time?
5)What are the accounting rules that have substantial authoritative support and are recognized as a general guide for financial reporting purposes in the U. S.?
-Generally accepted accounting principles
-General accounting principles
-Generally accepted accounting standards
-Generally accepted auditing principles