The following information is available for the Gold Company: $\begin{array} { l } \text { Net income for the year ended December 31, } 2014&\$127.4\\ \text {Retained earnings, December 31, 2014 }&150.0\\ \text {Retained earnings, December 31, 2013 }&180.0\\ \text {Total assets, December 31, 2014 }&470.0\\ \text {Total assets, December 31, 2013 }&442.0\\ \text {Total liabilities, December 31, 2014 }&240.0\\ \text { Total liabilities, December 31, 2013}&182.0\\ \end{array}$ What is the return on stockholders' equity for the year ended December 31,2014?

A) 24.1% B) 27.1% C) 52.0% D) 55.4% A) 24.1% B) 27.1% C) 52.0% D) 55.4%

Toto Company has the following data available: $\begin{array}{ll} \text { Sales for the year ended December 31, } 2012&\$106,950\\ \text {Gross profit for the year ended December 31, 2012 }&\$45,150\\ \text {Net income for the year ended December 31, 2012 }&\$7,300\\ \text {Total Current Assets, December 31, 2012 }&\$18,700\\ \text { Total Current Liabilities, December 31, 2012 } & \$ 7,600 \\ \text { Total Assets, December 31, 2012 } & \$ 48,400 \\ \text { Total Liabilities, December 31, 2012 } & \$ 20,850 \\ \text { Average total common shares outstanding in 2012 } & 1,000 \\ \text { Market price per share, December 31, 2012 } & \$ 75,00 \\ \text { Preferred dividends declared during 2012 } & \$ 2,000 \end{array}$ What are the earnings per share for the year ended December 31,2012?

A) $2.00 B) $5.30 C) $6.30 D) $7.30 A) $2.00 B) $5.30 C) $6.30 D) $7.30

Exam 17: Understanding and Analyzing Consolidated Financial Statements

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When a company owns less than 20 percent of the common stock of another company,the market value method of accounting for investments in equity securities is used.

(True/False)

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Question 121

The following information is available for the Gold Company: Net income for the year ended December 31, 2014 \1 27.4 Retained earnings, December 31, 2014 150.0 Retained earnings, December 31, 2013 180.0 Total assets, December 31, 2014 470.0 Total assets, December 31, 2013 442.0 Total liabilities, December 31, 2014 240.0 Total liabilities, December 31, 2013 182.0 What is the return on stockholders' equity for the year ended December 31,2014?

(Multiple Choice)

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Question 122

Research suggests that investors are not fooled by companies that choose the least conservative accounting policies to increase net income.

(True/False)

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Question 123

Toto Company has the following data available: Sales for the year ended December 31, 2012 \1 06,950 Gross profit for the year ended December 31, 2012 \4 5,150 Net income for the year ended December 31, 2012 \7 ,300 Total Current Assets, December 31, 2012 \1 8,700 Total Current Liabilities, December 31, 2012 \ 7,600 Total Assets, December 31, 2012 \ 48,400 Total Liabilities, December 31, 2012 \ 20,850 Average total common shares outstanding in 2012 1,000 Market price per share, December 31, 2012 \ 75,00 Preferred dividends declared during 2012 \ 2,000 What are the earnings per share for the year ended December 31,2012?

(Multiple Choice)

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Question 124

On January 1,2014,a parent company purchased 90 percent of the stock in a subsidiary.On January 1,2010,no goodwill was recorded and the book value of the subsidiary's assets equals the market value of the subsidiary's assets.On December 31,2014,the two companies report the following data: Parent Company Net Income for Past Year \ 100 million Subsidiary Company Net Income for Past Year \ 50 million What is the consolidated net income for the year ended December 31,2014?

(Multiple Choice)

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Question 125

Showing 121 - 125 of 125

When a company owns less than 20 percent of the common stock of another company,the market value method of accounting for investments in equity securities is used.

Research suggests that investors are not fooled by companies that choose the least conservative accounting policies to increase net income.

Managerial Accounting,the Business Organization,and Professional Ethics

Introduction to Cost Behavior and Cost Volume Profit Relationships

Measurement of Cost Behavior

Cost Management Systems and Activity-Based Costing

Relevant Information for Decision Making With a Focus on Pricing Decisions

Relevant Information for Decision Making With a Focus on Operational Decisions

Introduction to Budgets and Preparing the Master Budget

Flexible Budgets and Variance Analysis

Management Control Systems and Responsibility Accounting

Management Control in Decentralized Organizations

Capital Budgeting

Cost Allocation

Accounting for Overhead Costs

Job-Order Costing and Process-Costing Systems

Basic Accounting: Concepts, techniques, and Conventions

Understanding Corporate Annual Reports: Basic Financial Statements

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