Statement of retained eamings Hayes Enterprises began 2019 w

Statement of retained eamings Hayes Enterprises began 2019 with a retained earnings balance of $928,000. During 2019, the frm eamed $377,000 after taxes From this amount, preferred stockholders were paid $47,000 in dvidends. At year-end 2019, the fim\'s retaired earnings totaled $1,048,000. The firm had 140,000 shares of common stock outstanding during 2019 egare a statement of retaned earings for year ended December 31,2019, for Hayes Enterprises. (Now Besure to calculate and rade re amount of cash dividends paid n 20 b. Calculate the frm\'s 2019 eamings per share (EPS. e. How large a per-shane cash dividend did Pe iem pay on common stock during 20197 a Prepare a statement of retained eanings for the year ended December 31, 2019, for Hayes Enterprises. (Note: Be sure to calculate and include the amount of cash dividends paid in 2019.) The cash dividends paid on common stock are SRound to the nearest dollar.) Complete the statement of retaned eamings fr to year ended December 31. 2019·for Hayes Enterprses below: Rand to to nearest dolar) Hayes Enterprises Statement of Retained Earnings for the Year Ended December 31, 2019 Retained earnings balance (January 1, 2019) S?928000] Plus: Net prolits aher baxes (for 2019) 3770001

Solution

Requirement a Hayes Enterprises Statement of Retained Earnings For the Year Ended December 31, 2019 Retained earnings balance (January 1,2019) 928000 Plus: Net profits after taxes (for 2019 377000 Less: Cash dividends (paid during 2019) Preferred Stock 47000 Common Stock 210000 Retained earnings (December 31,2019) 1048000 Note: Cash dividends on Common Stock =928,000+377,000-47000-1,048,000 = $210,000 Requirement b Earning Per share = (Net income -Preferred Dividends)/ Average Common shares outstanding Earning Per share = ($377,000 -$47,000)/ 140,000 Shares Earning Per share = $ 2.36 Requirement c Dividend per share = Common Stock dividend /Common Shares outstanding Dividend per share = $210,000/140,000 Shares Dividend per share = $ 1.50