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Which of the following will not change the total amount of a firms reported stockholders equity?

Declaration and distribution of a cash dividend

Declaration and distribution of a 10% common stock dividend

Purchase of treasury stock

All of the above will change the total amount of a firms reported stockholders equity

Boro Corp. reports 2018 net income of $4,000,000 with no below-the-line items. They declared and paid the $400,000 annual preferred dividends required and pay $500,000 in dividends to common stockholders. Boro had 1,100,000 shares of common stock outstanding on 1/1/18 and reissued 200,000 shares of treasury stock on 7/1/18. Determine basic EPS for 2018.

$ 2.77

$ 3.00

$ 3.60

$ 3.64

When several types of potentially dilutive securities exist, the one that enters the computation of diluted EPS first is the one with the:

Incremental effect that is most dilutive.

Highest numerator increase effect.

Highest denominator increase effect.

Incremental effect that is least dilutive.

Which of the following held-to-maturity debt securities will result in increasing interest revenue recognition over time?

Those purchased at a discount

Those purchased at a premium

Those purchased at maturity value

None of the above

Passive investments in equity securities are only permitted to be classified in which of the following investment categories?

Securities available for sale.

Consolidation securities.

Held-to-maturity securities.

Trading securities.

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