Expert answer:P11-29A
The balance sheet of Ballcraft, Inc., reported the following:
Preferred stock, $6 par, 6%
5,000 shares authorized and issued $30,000
Common stock, $4,000 par value, 45,000 shares authorized
10,000 shares issued $40,000
Additional paid-in capital-common $219,000
Total paid-in capital $289,000
Retained earnings $90,000
Total stockholders’ equity $379,000
Preferred dividends are in arrears for two years, including the current year. On the balance sheet date, the market value of the Ballcraft common stock was $31 per share.
Is the preferred stock cumulative or noncumulative? How can you tell?What is the total paid-in capital of the company?What was the total market value of the common stock? (Show all work)Compute the book value per share of the common stock. (Show all work)Attached is the form to use for all calculations and answers
Attachments:
p11-29a.xlsx
