Kansas Pizza Pantry opened its first restaurant in Lawrence, Kansas in 1985. Almost immediately after the first location opened, it expanded from Kansas Pizza Pantry to more than 250 locations in more than 30 states and 11 countries. Kansas Pizza Pantry completed an initial public offering in August 2000. Several years ago, Silver Capital completed the acquisition of Kansas Pizza Pantry and, as a result of the acquisition, the company's common stock is no longer publicly traded.
KANSAS PIZZA PANTRY, INC., AND SUBSIDIARIES
Consolidated Statements of Operations
(amounts in thousands, except for per share data)
Year 3 Year 2 Year 1
Revenues:
Restaurant sales $ 633,106 $ 652,685 $ 665,616
Royalties from licensing agreement 6,722 8,239 6,580
Domestic franchise revenues 4,200 2,934 2,757
International franchise revenues 3,153 2,178 2,121
Total revenues 647,181 666,036 677,074
Costs and expenses:
Food, beverage and paper supplies 149,732 155,181 165,526
Labor 237,383 247,850 247,276
Direct operating and occupancy 142,920 142,473 140,367
Cost of sales 530,035 545,504 553,169
General and administrative 50,831 51,041 51,642
Depreciation and amortization 37,156 40,331 40,299
Pre-opening costs 3,369 1,893 4,478
Loss on impairment of property and equipment 18,952 23,441 13,336
Store closure costs 1,758 564 1,033
Litigation, settlement and other costs 8,909 1,659 736
Total costs and expenses 651,010 664,433 664,693
Operating (loss)/income (6,279 ) 3,303 12,381
Interest expense, net (26 ) (783) (1,324)
(Loss)/income before income tax (benefit)/provision (6,305 ) 2,520 11,057
Income tax (benefit)/provision (5,239 ) (2,141) 2,395
Net (loss)/income $ (1,066 ) $ 4,661 $ 8,662
Net (loss)/income per common share:
Basic $ (0.07 ) $ 0.19 $ 0.34
Diluted $ (0.07 ) $ 0.19 $ 0.34
Weighted average shares used in calculating net (loss)/income per common share:
Basic 24,738 24,564 25,193
Diluted 24,738 24,393 25,211
KANSAS PIZZA PANTRY, INC., AND SUBSIDIARIES
Consolidated Balance Sheets
(in thousands, except for share data)
Year 3 Year 2
Assets
Current assets:
Cash and cash equivalents $ 14,465 $ 23,724
Other receivables 12,844 13,041
Inventories 6,427 6,557
Current deferred tax asset, net 8,675 7,576
Prepaid rent 306 5,957
Other prepaid expenses 2,818 2,281
Total current assets 45,535 59,136
Property and equipment, net 242,446 256,416
Noncurrent deferred tax asset, net 22,601 25,511
Goodwill 4,722 4,872
Other intangibles, net 5,087 4,964
Other assets 8,813 7,409
Total assets $ 329,204 $ 358,308
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable $ 17,675 $ 11,763
Accrued compensation and benefits 23,923 23,701
Accrued rent 21,174 20,287
Deferred rent credits 4,358 4,245
Other accrued liabilities 14,190 11,915
Gift card liability 14,877 21,140
Store closure reserve 79 351
Total current liabilities 96,276 93,402
Long-term debt --- 22,800
Other liabilities 9,986 8,728
Deferred rent credits, net of current portion 33,677 32,978
Income taxes payable, net of current portion 329 10,125
Commitments and contingencies - -
Stockholders’ equity:
Common stock—$0.01 par value, 80,050,000 shares
authorized, 27,100,000 and 26,700,000 shares issued and outstanding at end of Year 3, and Year 2, respectively 271 267
Additional paid-in capital 174,563 174,500
Retained earnings 14,102 15,508
Total stockholders’ equity 188,936 190,275
Total liabilities and stockholders’ equity $ 329,204 $ 358,308
Required:
Compute the following ratios for Year 3 using information from the company annual report that was issued before Kansas Pizza Pantry was acquired. Assume a market price per share of $1.26.(Round your answers to 2 decimal places. Enter percentage answers rounded to 2 decimal places (i.e. 0.1234 should be entered as 12.34). Negative amounts should be indicated by a minus sign.)
Ratios are: Return on equity, Net profit margin, Inventory turnover, Current ratio, Quick Ratio, Debt-to equity ratio, Price/earnings ratio.

Answers

Answer 1

The financial ratios for Kansas Pizza Pantry are computed as follows:

1. Return on Equity = Net loss/Stockholders' Equity x 100

= $(1,066)/$188,936 x 100

= -0.56%

2. Net Profit Margin = Net loss/Total revenue x 100

= $(1,066)/$647,181 x 100

= -0.16%

3. Inventory Turnover = Cost of goods sold/Average  Inventory

= $530,035/$6,492

= 81.6 times

4. Current Ratio = Current assets/Current liabilities

=  $45,535/$96,276

= 0.47

5. Quick Ratio = Current assets - Inventories/Current liabilities

= $45,535 - $6,427/$96,276

= 0.41

6. Debt-to-Equity Ratio = Total Debts/Total Equity

= $140,268/$188,936

= 74%

7. Price/Earnings Ratio = $1.26/$(0.07)

= -18 times

Data and Calculations:

Total revenues = $647,181

Cost of sales = $530,035

Net (loss)/income = $(1,066)

Basic EPS = $ (0.07)

Total current assets = $45,535

Total current liabilities = $96,276

Total liabilities and stockholders’ equity = $329,204

Total stockholders’ equity = $188,936

Total liabilities = $140,268 ($329,204 - $188,936)

Less current liabilities = $96,276

Long-term liabilities = $43,992 ($140,268 - $96,276)

Average Inventories = $6,492 ($6,427 + $6,557)/2

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Related Questions

At high price levels, demand tends to be ________ and the price effect is ________, relative to the output effect.

Answers

At high price levels, demand tends to be elastic and the price effect is small relative to the output effect.

Use your knowledge of management communications to select the three missing labels from the following image.

WORD BANK
Strategic Conversations
Methods
Purpose-Directed

Answers

Answer:

A. Purpose-directed: The communication conducted by the manager must be aligned with the culture and value system of the organization

I'm sure about this one but others I have not idea so far If I get it I'll upload then.

The phrase “communication management” refers broadly to the exchange of information between different businesses or inside one business. It focuses on achieving a company's target audiences through the development and execution of various communication strategies.

What use of knowledge of management communications?

Communication is crucial for self-expression. Additionally, it meets one's necessities. Effective communication is necessary for career advancement. Effective communication skills can make your personal life easier and improve your interactions with others by facilitating mutual understanding.

We mostly communicate verbally, nonverbally, in writing, and visually on a daily basis. It's best to actively listen, observe, and empathize when using any of these communication techniques.

Therefore, A Purpose directed, B Strategic Conversations C Methods.

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Henderson Company has fixed costs of $35,000 and a contribution margin ratio of 25%. If expected sales are $200,000, what is the margin of safety as a percent of sales

Answers

Answer:

30%

Explanation:

Management at Work

You work as a salesperson for Spectrum Color, a chemical manufacturer, which keeps you very busy. Your customers are photographers who use Spectrum’s products to create professional images for publication. They are usually a friendly clientele. Today, however, customer Jesse Adamson is upset when he calls to inquire about his order. Jesse says he will miss his deadline if he doesn’t receive his order right away. He threatens to stop using Spectrum Color if the company does not meet his demand and fill his order immediately.

1. What is the most important message this customer is trying to convey?
a. He is an important photographer.
b. He is having financial problems.
c. He urgently needs his chemical order.

2. What can you do to listen more effectively to this customer?
a. Transfer the call to your supervisor, so the caller calms down.
b. Ask gentle, probing questions.
c. Defend the company’s reputation.

Answers

Answer:

1) c

2) b

Explanation:

Answer:

c. He urgently needs his chemical order.

Jesse is upset about one thing: his missing chemical order. Because the order is late, he may miss his deadline, which could hurt his reputation and earnings. His primary message is that he needs his chemical order right away.

b. Ask gentle, probing questions.

Customers want you to demonstrate that you genuinely care about them and the service you are providing. By asking gentle, probing questions of customers, you demonstrate concern and ensure a clear understanding of the situation, so you are better prepared to offer a solution.

Defending the company’s reputation or passing the call on to your supervisor would not help address the customer’s concerns. If you are unable to help solve the customer’s problem, you might transfer the call to your supervisor at the customer’s request.

Firms in an oligopoly often Group of answer choices Have no control over the price of their product. face perfectly elastic demand curves. make decisions based on the behavior or expected behavior of their competitors. operate without regard to the behavior of competing firms.

Answers

Based on economic situation analysis, the Firms in an oligopoly often "make decisions based on the behavior or expected behavior of their competitors."

This is because firms in an oligopoly tend to act inter-dependently.

This implies that the firms in oligopolies can act together to fix prices to maximize the possible profits in their industries.

Oligopoly is a term in economic theory used to describe the market condition whereby the smaller number of firms are producing a commodity.

Hence, in this case, it is concluded that the correct answer is option C. "make decisions based on the behavior or expected behavior of their competitors."

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On 1 January 2011 a company issued five-year fixed-interest bonds with a face value of $5 million, paying half-yearly coupons at 8.25 per cent per annum. Coupons are payable on 30 June and 31 December each year until maturity. On 15 September 2013 the holder of the bonds sells at a current yield of 8.63 per cent per annum. Calculate the price at which the investor sold the bond.

Answers

The price at which the investor sold the bond equals the Present Value of the Interest and the Face Value to be $4,975,447.20.

Data and Calculations:

Face value of bonds = $5,000,000

Interest rate = 8.25% per year

Half-yearly interst payment = $206,250 ($5,000,000 x 8.25% x 1/2)

Interest payment = half-yearly

Interest payment dates = June 30 and December 31

Interest paid on the bonds = $1,031,250 ($5,000,000 x 8.25% x 2.5)

Interest to be paid on the bonds = $1,031,250 ($5,000,000 x 8.25% x 2.5)

Current yield of the bonds = 8.63% per annum

PV of interests to be paid at 8.63% p.a for 2.5 years = $910,119.53

PV of bonds face value at 8.63% p.a for 2.5 years = $4,065,327.67

Price of the bonds = $4,975,447.20 ($4,065,327.67 + $910,119.53)

Thus, the investor sold the bond at $4,975,447.20.

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The University could continue to use the present bus for the next seven years. Whether the present bus is used or a new bus is purchased, the bus would be traded in for another bus at the end of seven years. The University uses a discount rate of 12% and the total cost approach to net present value analysis. If the new bus is purchased, the present value of the annual cash operating costs associated with this alternative is closest to:

Answers

Answer:

If the present bus is repaired, the present value of the annual cash operating costs associated with this alternative is calculated as follows;

“Marketing is Significant for Both Profit and Non-Profit Organizations”Do you agree with this statement? Explain​

Answers

Answer:

yes i agree

Explanation:

Marketing is an easy task. Its more than legally not allowed from standing your case on a small budget with a limited number of financial resources. It can be a little tricky, it's with people with a certain problem, they're funded by giving you money who they'll never see again. Lining lining. There is an activity type like real type, tag, tag, people, people, real type. in addition to. Cut off a big plane.

Discuss the possible ways that purchasing becomes aware of the need to evaluate and select a supplier.

Answers

Explanation:

This lesson discusses the basics of project procurement management. Project procurement management is a critical part of overall project management, and we will use an example to show how this topic fits into everyday project management activities.

Why are professional associations interested in keeping professional standards high?
A few dishonest professionals can hurt the entire profession.
B. They can charge more for higher standards.
C. Professional associations get paid based on customer reviews.
D. Professional associations are forced by law to keep standards high.

Answers

Answer:

A few dishonest professionals can hurt the entire profession.

Suppose Malaysia's production possibilities include a maximum of 120 units of rice or 300 units of lumber, and Canada's production possibilities include a maximum of 200 units of rice or 200 units of lumber. Then suppose each country initially allocates 50% of its labor to producing each product. a) Total production by the two countries equals tons of rice and ft3 of lumber. b) Now suppose that Malaysia increases the labor it allocates to lumber by 10%. Its lumber production rises by and its rice production falls by . c) Of Canada allocates its labor to increase its rice production by exactly the amount that Malaysia's rice production fell, by how much must its lumber production fall

Answers

A) the total production of Malaysia would be 60 tons of rice and 150 ft3 of lumber, and the total production of Canada would be 100 tons of rice and 100 ft3 of lumber; B) the production of rice would fall by 6 tons and the production of lumber would rise by 15 ft3; and C) Canada's lumber production would fall by 10 ft3.

Supposing Malaysia's production possibilities include a maximum of 120 units of rice or 300 units of lumber, and Canada's production possibilities include a maximum of 200 units of rice or 200 units of lumber, and supposing each country initially allocates 50% of its labor to producing each product, to determine A) the total production by the two countries equals tons of rice and ft3 of lumber, B) now supposing that Malaysia increases the labor it allocates to lumber by 10%, the number by which its lumber production rises by and its rice production falls by, and C) if Canada allocates its labor to increase its rice production by exactly the amount that Malaysia's rice production fell, by how much must its lumber production fall, the following calculations should be performed:

A)

120 x 0.5 = 60 300 x 0.5 = 150 200 x 0.5 = 100

B)

50 x 1.1 = 55 120 x 0.45 = 54 300 x 0.55 = 165

C)

200 x 0.55 = 110 200 x 0.45 = 90

Therefore, A) the total production of Malaysia would be 60 tons of rice and 150 ft3 of lumber, and the total production of Canada would be 100 tons of rice and 100 ft3 of lumber; B) the production of rice would fall by 6 tons and the production of lumber would rise by 15 ft3; and C) Canada's lumber production would fall by 10 ft3.

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Tough Mudder is committed to teamwork. The managers know that selecting the right type of team with the right characteristics is essential for the success of teams.

1. When the company is hosting an event, managers should assign event preparations to a ____________________________. Preparations include trucking in different kinds of equipment and setting it up over several acres; installing sufficient security, first aid, and portable restrooms throughout the course; and having food and drink delivered, as well as marketing the event and enrolling participants.
a. functional team
b. cross functional team

2. Hiring team members who are diverse in terms of gender and race is likely to ______________________ the team’s productivity.
a. improve
b. have no effect on

Answers

Answer:

1 b

2 a

Explanation:

1. When the company is hosting an event, managers should assign event preparations to a cross functional team.

2. Hiring team members who are diverse in terms of gender and race is likely to improve the team’s productivity.

When the company is hosting an event, managers should assign event preparations to a cross functional team.Hiring team members who are diverse in terms of gender and race is likely to improve.

What are cross functional teams?

Cross-functional teams are collections of employees from many departments within a business, such as marketing, product, sales, and customer success. These can be working groups where each participant is a part of both their functional team and the cross-functional team, or they can be the main organizational structure. Cross-functional teams can also be formed with a more continuous goal in mind. Cross-functional teams are frequently set up to finish a single project. A cross-functional team is a workgroup made up of staff members from various functional departments who cooperate to accomplish a given goal.

Cross-functional teams are frequently formed by organizations on a temporary basis to work together on a single project from its inception till, ideally, its successful completion. However, some businesses elect to implement permanent cross-functional teams as opposed to a more conventional hierarchical structure with distinct divisions of professional specialties for their workforce organization.

All sizes of businesses can benefit from the utilization of cross-functional teams. A cross-functional team prioritizes collaboration and communication over individual members' specialized organizational functions in order to achieve team objectives.

What is a hiring team?

A hiring team, as the name suggests, is the team of people entrusted with filling a post that is open. Typically, hiring teams are in charge of everything, including finding talent, conducting interviews with candidates, and selecting the best one.

The person within the company who requests a new position be filled is the hiring manager. As a result, they serve as the impetus for the creation of the hiring team. Following that, recruiting managers act as the hiring team's leader. Throughout the hunt, they are in charge of coordinating with Human Resources. Additionally, they take part in every step of the employment process, from recruitment to job offers.


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In a year in which common stocks offered an average return of 12% and Treasury bills offered 3%. The risk premium for common stocks was:

Answers

Considering the information given, the Risk premium on stock is 9%.

Given Information

Expected return on market = 12%

Risk free rate = 3%

The formula for Risk premium on stock is {Expected return on market - Risk free rate}

Risk premium on stock = 12% - 3%

Risk premium on stock = 9%

Hence, the Risk premium on stock is 9%.

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__________ refers to messages sent through human actions and behavior rather than through words.

✔ a. Nonverbal communication
b. Verbal communication
c. Written communication
d. E-mail
e. Oral communication

Answers

Answer:

Nonverbal Communication

4. List and discuss five key ideas of the Tanpin Kanri business approach and explain how companies and organizations outside of the retail industry, specifically using universities as an industry example (higher education), could learn from this approach.

Answers

Tanpin Kanri's business approach focuses on demand chain driving using the point of sale to determine the most effective points of sale to generate sales and which products available at the point of sale are selling the most.

The five key ideas of the Tanpin Kanri approach are as follows:

Market analysis.Analysis of market share potential.Attractiveness analysis.Competitiveness Analysis.Value creation analysis.

Therefore, making a parallel with this approach used in the retail sector for universities, the analyzes can be used to analyze knowledge production and identify new strategies to ensure greater student adherence, generating motivation and value for students.

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Reducing an employee’s compensation because of poor performance is known as negative reinforcement.

Answers

Answer:

Explanation:

True

Sales Transactions and T Accounts Using T accounts for Cash, Accounts Receivable, Sales Tax Payable, Sales, Sales Returns and Allowances, and Sales Discounts, enter the following sales transactions. 1. No sales tax. (a) Merchandise is sold for $320 cash. (b) Merchandise is sold on account for $385. (c) Payment is received for merchandise sold on account.

Answers

Answer:

Payment id received for merchanise sold on account

Analyze the transactions and indicate whether each transaction is an operating activity, investing activity, financing activity, or noncash investing and financing activity.

Answers

The purchase of the machine for $30,000 will be recorded as noncash investing and financing activities.

In accounting, statement of cash-flow is a statement that calculate the amount of cash and cash equivalents that comes and leaves the company.

The section of the statement of cash-flow are divided into the operating activities, investing activities and financing activities.

The significant noncash financing and investing activities are reported on the company's income statement.

In conclusion, the Option D is correct because the purchase of the machine for $30,000 will be recorded as noncash investing and financing activities.

Missing word includes "Purchased a machine for $30,000, giving a long-term note in exchange."

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The common stock of High Energy is selling for $58 per share. Currently, the firm has a total market value of $1,314,900 and a book value of $647,600. How many shares of stock will be outstanding if the firm does a stock split of 5-for-2

Answers

The number of shares of stock that will be outstanding if the firm does a stock split of 5-for-2 is $56,677.

Using this formula

Outstanding shares=(Total market value/Common stock per share)×Stock split

Let plug in the formula

Outstanding shares=($1,314,900 /$58)×5/2

Outstanding shares=$56,676.72 shares

Outstanding shares=$56,677 shares (Approximately)

Inconclusion the number of shares of stock that will be outstanding if the firm does a stock split of 5-for-2 is $56,677.

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Beto Company pays $4.70 per unit to buy a part for one of the products it manufactures. With excess capacity, the company is considering making the part. Making the part would cost $4.50 per unit for direct materials and $1.00 per unit for direct labor. The company normally applies overhead at the predetermined rate of 200% of direct labor cost. Incremental overhead to make the part would be 80% of direct labor cost.

Required:
a. Prepare a make or buy analysis of costs for this part. (Enter your answers rounded to 2 decimal places.)
b. Should Beto make or buy the part?

Answers

Here, we are decide the best option between making the part or buying the part.

a.                  Make or Buy Analysis

Particulars                              Make amount    Buy amount

Direct Materials                            $4.50

Direct Labor                                $1.00  

Overhead (80% of Direct Labor)    $0.80  

Cost to buy                                                      $4.70

Cost per unit                              $5.70              $4.70

Cost Difference = $5.70 - $4.70

Cost Difference = $1.00

Therefore, the cost difference of making amount over buying amount is $1.00.

b. Because of the difference, Beto should buy the part because its cost is lesser than to make the part.

Therefore, the buying of the part is the best decision.

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In 2018, Joshua gave $12,300 worth of XYZ stock to his son. In 2019, the XYZ shares are worth $28,800. If Joshua had not given his son the stock in 2018 and held onto it instead, how much more would his estate have been worth than if he had made the gift

Answers

Answer:

It has given that Joshua gave $15000 worth of XYZ stock to his son during 2018.

Explanation:

A share is a bit of a company or fiscal asset power shareholders are who enjoy shares in a company.

Computation for total quantum of how much more would his estate have been worth than if he had made his gift.

Since we were told that in 2018, Joshua gave the quantum of $12,300 to this son, the XYZ shares are worth the quantum of $28,800. If Joshua had not given his son the stock in 2018 then the ($28,800+$12,300) much more would his estate have been worth than if he had made the gift.

The answer is $12,300

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Which best describes the economic impact of defaulting on bank loans?

The economy suffers because banks have less money to loan to others.
The economy suffers because people have less money to spend.
The economy suffers because businesses are scared to take out loans.
The economy suffers because people are scared to take out loans.

Answers

Answer:

The answer is A.

Explanation:

The economy suffers because banks have less money to loan to others.

The economic impact of defaulting on bank loans is that the economy suffers because banks have less money to loan to others.

What is effect of defaulting on bank loans?

If a bank gives loan to people and they refuse to pay back, there won't be enough money to lend other customers.

Therefore, option A is correct because, economy suffers because banks have less money to loan to others.

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Transparency refers to

Answers

Explanation:

Transparency, as used in science, engineering, business, the humanities and in other social contexts, is operating in such a way that it is easy for others to see what actions are performed. Transparency implies openness, communication, and accountability.

a type of short-term loan where the borrower sells its accounts receivables to the lender at a discount to face value is called

Answers

Answer:

its called a letter of credit

Explanation:

here

Imagine that you are a management coach and one of your clients, a new manager, says, “I’ve heard that about two thirds of managers fail within 18 months. I don’t want to be part of that statistic! I’ve heard that asking questions and really listening to people’s responses is key to success. But as a manager, shouldn’t I have the answers? Why should I be asking questions?” How do you respond?

CHECK ALL THAT APPLY
- Asking employees questions helps develop their critical thinking skills.
- Asking employees questions boosts their morale by helping them feel like experts, even though they’re not.
- Asking employees questions enhances their sense that the manager is the only person they should be in dialogue with, so they start talking less to each other.
- Asking employees how to solve problems empowers them to arrive at solutions to which they’re committed.

Answers

Answer:

✔ Asking employees questions helps develop their critical thinking skills.

✘ Asking employees questions boosts their morale by helping them feel like experts, even though they’re not.

✘ Asking employees questions enhances their sense that the manager is the only person they should be in dialogue with, so they start talking less to each other.

✔ Asking employees how to solve problems empowers them to arrive at solutions to which they’re committed.

Explanation:

A manager who asks questions with a sincere interest in the answers is engaging in dialogue similar to a “regular” back-and-forth conversation, and this authenticity builds trust and promotes the open exchange of ideas. Another key benefit is that having employees think about questions, rather than just telling them information or telling them what to do, engages their critical thinking skills—which are key skills for organizational success. Also, when employees are asked how to solve problems, they are likely to have more buy-in to the solution they arrive at than to a solution imposed on them. Many people are motivated by feeling as though their ideas make a positive difference.

Lower-level employees are often the experts in operational details and often have more direct contact with customers than higher-level managers, so they have tremendous expertise that can and should be tapped. Asking employees questions begins an organizational dialogue that can lead to a decentralized communication network, in which employees freely exchange ideas with one another and not just with their manager.

Serena and Venus are sisters. Venus sold stock to Serena for $5,000, its fair market value. The stock cost Venus $10,000 five years ago. Also, Venus sold Carol (an unrelated party) stock for $2,000 that cost $10,000 three years ago. What is Venus' recognized loss before the $3,000 capital loss limitation?

Answers

Based on the information given the Venus' recognized loss before the $3,000 capital loss limitation is $8,000.

Using this formula

Recognized loss=Stock cost-Selling price

Where:

Stock cost=$10,000

Selling price=$2,000

Let plug in the formula

Recognized cost=$10,000-$2,000

Recognized cost=$8,000

Inconclusion the Venus' recognized loss before the $3,000 capital loss limitation is $8,000.

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1. Which of the following statements is FALSE?
a. It is better to wait until interest rates are high to start saving.
b. Investing tends to have a higher risk than saving.
c. A savings account is best for meeting short-term goals.
d. Low interest rates decrease the inventive to save.

Answers

Answer:    I think that a. is false.

Explanation:

Answer:

a true

b false

c false

d true

ecan Theatre Inc. owns and operates movie theaters throughout Florida and Georgia. Pecan Theatre has declared the following annual dividends over a six-year period: 20Y1, $32,000; 20Y2, $64,000; 20Y3, $152,000; 20Y4, $176,000; 20Y5, $224,000; and 20Y6, $280,000. During the entire period ended December 31 of each year, the outstanding stock of the company was composed of 20,000 shares of cumulative, preferred 4% stock, $100 par, and 100,000 shares of common stock, $20 par. Required: 1. Determine the total dividends and the per-share dividends declared on each class of stock for each of the six years. There were no dividends in arrears at the beginning of 20Y1. Summarize the data in tabular form. If required, round your per share answers to two decimal places. If the amount is zero, please enter "0".

Answers

Pecan Theatre's total Dividends and per-share dividends declared on Cumulative Preferred Stock and Common Stock are summarized below:

Dividends Declared:

                        20Y1      20Y2         20Y3         20Y4           20Y5        20Y6

Total          $32,000  $64,000  $152,000  $176,000  $224,000  $280,000

Preferred Stock:

Total          $80,000   $80,000     $80,000  $80,000     $80,000    $80,000

Per-share  $4               $4                  $4            $4                $4               $4

Paid          $32,000   $64,000   $144,000  $80,000    $80,000    $80,000

Arrears     $48,000    $64,000            $0            $0                $0               $0

Common Stock:

Total         $0            $0              $8,000    $96,000   $144,000  $200,000

Per-share $0            $0                $0.08         $0.96         $1.44         $2.00

Data and Calculations:

Outstanding Stock:

20,000 shares 4% Cumulative Preferred Stock at $100 par value = $2 million

100,000 shares Common Stock at $20 par value = $2 million

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What is the present value of $5,000 to be received 10 years from now if the interest rate is 10 percent

Answers

The answer is $12968.

The answer is $12968.

What is interest rate?The interest rate is the percentage that the lender expenses for borrowing the capital. The APR, or annual allocation rate, is supposed to remember a more precise cost of borrowing. The APR calculation contains fees and value points, along with the interest speed.Mortgage velocities change all the time. So a good mortgage rate could look drastically different from one day to the next. Right now, a reasonable mortgage rate for a 15-year fixed loan strength is in the high-3% or low-4% range, while a reasonable rate for a 30-year mortgage is typically in the high-4% or low-5% range.Mortgage rates are likely to persist to rise in 2022. Many elements influence mortgage rates, including inflation, world events, financial crises, personal characteristics, the Federal Reserve, and even bond prices. Even though mortgage interest rates increase, they resolve still lower than documented mortgage rates.

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Banks in Ruritania have a required reserve ratio of 8% . Round all answers to one place after the decimal. What is the simple money multiplier

Answers

The simple money multiplier is 12.5.

The reserve ratio is the ratio the Central Bank of a country requires banks to keep as reserves in order to meet unforeseen circumstances. For example, if the reserve ratio is 8%, if a customers deposits $1000, banks must keep $80 as reserves.

Money multiplier is the maximum amount of money commercial banks can create.

Money multiplier = 1 / reserve ratio

1 / 8%

1 / 0.08 = 12.5

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