Questions from Financial Reporting

Q: On January 2, 2017, Dwyer Corporation granted 10,000

On January 2, 2017, Dwyer Corporation granted 10,000 nonqualified stock options each to four of its key executives (40,000 options in total). Under the terms of the option plan, upon exercise, each ex...

Q: Excerpts from the Year 2 annual report of Air Products and Chemicals

Excerpts from the Year 2 annual report of Air Products and Chemicals, Inc., follow. The income statement and balance sheet are condensed but the note entitled “Summarized Financial I...

Q: The following excerpt is from Ball Corporation’s 2006 annual report. Effective

The following excerpt is from Ball Corporation’s 2006 annual report. Effective January 1, 2006, the company adopted SFAS No. 123 (revised 2004), “Share-Based Payment,” and elected to use the . . . Bla...

Q: The following excerpts are taken from the annual report of J.

The following excerpts are taken from the annual report of J. Crew Group, Inc. At January 29, 2005 and January 28, 2006, 92,800 shares of Series A preferred stock and 32,500 shares of Series B preferr...

Q: Keystone Enterprises just announced record 2017 EPS of $5.00

Keystone Enterprises just announced record 2017 EPS of $5.00, up $0.25 from last year. This is the tenth consecutive year that the company has increased its EPS, an enviable record. Unfortunately, man...

Q: AT&T Wireless Services was once one of the largest wireless

AT&T Wireless Services was once one of the largest wireless communication—think “cell phones”—service providers in the Unite...

Q: Hanigan Manufacturing had 1,800,000 shares of common stock

Hanigan Manufacturing had 1,800,000 shares of common stock outstanding as of January 1, 2017, and 900,000 shares of 10% noncumulative (nonconvertible) preferred stock outstanding. Required: The follo...

Q: Kadri Corporation reported basic EPS of $3.00 and diluted

Kadri Corporation reported basic EPS of $3.00 and diluted EPS of $2.40 for 2017. Its EPS calculations follow: Required: Kadri issued the convertible preferred stock at the beginning of 2017 and the...

Q: Massey Coal just issued $50 million of convertible notes. Each

Massey Coal just issued $50 million of convertible notes. Each note has a $1,000 face value, a stated interest rate of 2%, and matures in five years from the issue date. Investors have the option of h...

Q: The stockholders’ equity section of Warm Ways Inc.’s balance sheet

The stockholders’ equity section of Warm Ways Inc.’s balance sheet at January 1, 2017, shows: Preferred stock, $100 par value, 10% dividend, 50,000 shares issued and outstanding ………………….. $ 5,000,0...