On January 1, 2020, Crane Corporation had $1,355,000 of common stock outstanding that was issued at par. It also had retained earnings of $746,000. The company issued 36,500 shares of common stock at par on July 1 and earned net income of $410,000 for the year. Journalize the declaration of a 15% stock dividend on December 10, 2017, for the following independent assumptions.
(a) Par value is $10, and market price is $18.
(b) Par value is $5, and market price is $20.
No. Account Title & Explanation Debit Credit
A) Stock Dividends
Common Stock Dividends Distributable
Paid-In Capital in Excess of Par-Common Stock
B) Stock Dividends
Common Stock Dividends Distributable
Paid-In Capital in Excess of Par-Common Stock

The market yield on spice grills' bonds is 15%, and the firm's marginal tax rate is 33%. what is their shareholders' required return if the equity risk premium is 4%?

Data pertaining to the current position of forte company are as follows: cash $437,500 marketable securities 170,000 accounts and notes receivable (net) 320,000 inventories 700,000 prepaid expenses 42,000 accounts payable 240,000 notes payable (short-term) 250,000 accrued expenses 310,000 required: 1. compute (a) the working capital, (b) the current ratio, and (c) the quick ratio. round ratios to one decimal place. 2. compute the working capital, the current ratio, and the quick ratio after each of the following transactions, and record the results in the appropriate columns of the table provided. consider each transaction separately and assume that only that transaction affects the data given. round to one decimal place. a. sold marketable securities at no gain or loss, 75,000. b. paid accounts payable, 135,000. c. purchased goods on account, 100,000. d. paid notes payable, 105,000. e. declared a cash dividend, 125,000. f. declared a common stock dividend on common stock, 45,000. g. borrowed cash from bank on a long-term note, 205,000. h. received cash on account, 130,000. i. issued additional shares of stock for cash, 635,000. j. paid cash for prepaid expenses, 15,000.

What do you think: would it be more profitable to own 200 shares of penny’s pickles or 1 share of exxon? why do you think that?