Envoy Co. manufactures and sells household products. Envoy experienced losses associated with its small appliance group. Operations and cash flows for this group can be clearly distinguished from the rest of Envoy ' s operations. Envoy plans to sell the small appliance group with its operations. What is the earliest point at which Envoy should report the small appliance group as a discontinued operation?
Question 15
An extraordinary gain should be reported as a direct increase to which of the following?
Question 16
Poe Co. had 300,000 shares of common stock issued and outstanding at December 31, 2004. No common stock was issued during 2005. On January 1, 2005, Poe issued 200,000 shares of nonconvertible preferred stock. During 2005, Poe declared and paid $ 75,000 cash dividends on the common stock and $ 60,000 on the preferred stock. Net income for the year ended December 31, 2005 was $ 330,000. What should be Poe ' s 2005 earnings per common share?
Question 17
On December 1, 2005, Clay Co. declared and issued a 6 % stock dividend on its 100,000 shares of outstanding common stock. There was no other common stock activity during 2005. What number of shares should Clay use in determining earnings per share for 2005?
Question 18