Conversion of the preferred stock into common stock

Assignment Help Accounting Basics
Reference no: EM13145169

In 2006, Berger, Inc., issued for $103 per share, 60,000 shares of $100 par value convertible preferred stock. One share of preferred stock can be converted into three shares of Berger's $25 par value common stock at the option of the preferred stockholder. In August 2007, all of the preferred stock was converted into common stock. The market value of the common stock at the date of the conversion was $30 per share. What total amount should be credited to additional paid-in capital from common stock as a result of the conversion of the preferred stock into common stock?

Reference no: EM13145169

Questions Cloud

Compute the break-even point in units and dollars : Determine the variable cost per haircut and the total monthly fixed costs. Compute the break-even point in units and dollars. Determine net income, assuming 1,900 haircuts are given in a month.
Is there statically signifant relationship between variables : Is there a statically signifant relationship between these variables. b. Compute column percentages for the table to determine tthe pattern of the relationship.
Compute net income for first year for tri fecta : The partnership paid $3,000 in interest that was the amount owed for the year and paid $8,000 for a two-year insurance policy on the first day of business. Compute net income for the first year for Tri Fecta.
What are the expected numbers in the cross : A purple flowered, tall pea plant was crossed with a white flowered dwarf plant and in the F1 generation the following offspring resulted.
Conversion of the preferred stock into common stock : What total amount should be credited to additional paid-in capital from common stock as a result of the conversion of the preferred stock into common stock?
What amount would camco record the forward contract on june : The spot rate on June 1 was 1 = $.004167, and the 90-day forward rate was 1 = $.00427. At what amount would CamCo record the Forward Contract on June 1st?
Define ethanol is a common laboratory solvent : Ethanol is a common laboratory solvent and has a density of 0.789 g/mL
What will the volume of the gas be : A gas has a volume of 150 ml when its pressure is 0.947 atm. What will the volume of the gas be at a pressure of .987 atm, if the temperature remains constant
What is the real future value which will sit : What is the real future value of $10,000 which will sit in a savings account for 20 years, earning 4% interest compounded yearly during a period of 4% annual inflation?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Compute total cost of securities purchased

Someone purchased 320 shares of DNA at 35 3/4 from broker. He charges 1.6% for the transaction. Odd lot carry 1/8 of a dollar brokerage differential.

  Homemade dividend in two years

The required return on Avondale stock is 15 percent. If you want only $225 total in dividends the first year, what will your homemade dividend be in two years.

  What portion of consolidated retained earnings is assigned

What portion of consolidated retained earnings is assigned to the non-controlling interest in the consolidated balance sheet.

  Basics of division return on investment

Wares is a division of a major corp. The following data are for the latest year of operations: division's return on investment

  What is the danger in allocating common fixed costs

What is the danger in allocating common fixed costs among product lines or other segments of an organization?

  Contract in a percentage of completion method

When you are preparing a partial balance sheet for a 2 year period showing any items related to the contract in a percentage of completion method how do you figure out your accounts receivable, construction in progress and billings figures?

  Analysis of agency

Identify a public agency - either at the local, state, or federal levels - that has undergone significant change in the last 25 years. You may choose an agency that you have had personal experience with, or you may choose a public agency that you ..

  Computing earnings per share-high and dry boat company

The High and Dry Boat Company has $120,000 of 15% bonds outstanding along with 2,000 shares of $2.50 (dividend) preferred stock and 3,000 shares of common stock.

  Self-employment and proprietorship

John has $55,000 net earnings from the sole proprietorship. John is also employed by a major corporation and is paid $25,000. John' self-employment tax in 2013 is:

  Determine whether bethlehem''s explanation seem reasonable

If you had been an analyst evaluating Bethlehem's 2001 third-quarter 10-Q, explain whether or not you would have downgraded Bethlehem's stock.

  Recognizing the gain problem

At the formation of the BD Partnership, Betty contributes land with a basis of $10,000 and a FMV of $30,000 and Dick contributes cash of $30,000. Betty and Dick share profits and losses equally. When the land is sold two years later for $50,000, B..

  Plums software sales

John and jean own 80 percent and 20 percent respectively, of palm Corporation stock. Thanks to their hard work, Plum's software sales have sky rocketed. In its first year of operation plum's earning were minimal, but four years later, Plum grossed..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd