Friday, March 8, 2019

Corporation: Weekly Reflection Essay

3.1 Differentiate types of expects issued by corporations.The team concluded that the different types of stocks issued by a corporation are common stock, preferred stock, and treasury stock. Every iodine is conscious(predicate) that common stock gives stockholders the right to vote on actions dealing with incorporated earnings through the acquisition of dividends, and keeping the same percentage of shares when sweet stocks are issued. Preferred stocks are additional class of stocks issued by corporations to collection to more investors. Treasury stock is stock that a play along has issued, and accordingly reacquires. Though everyone is aware of what types of stocks are issued by corporations, there are motionlessness some areas where team members show still being confused.One of those areas of annoying deals with authorized stock and why companies do not put a par time value on a stock to determine its value. some other area of confusion deals with treasury stock and gras ping the concept. In coitus to severally members brass instrument and the issuance of stock, everyone expect for one team member works for a non-profit organization or a company that does not issue stock. The one member, however, works for an airline and expressed that the company, unite Airlines, has common and treasury stocks (United Continental Holdings, Inc., 2010).3.2 Calculate stocks, dividends, and stock splits.For object 3.2, some team members seem to understand better than others, what is involved in the calculation of stocks, dividends, and stock splits. Stock is calculated by subtracting the dividends of a trusted stock from the companys net income, then dividing that number by the number of outstanding shares. To calculate dividends multiply the number of shares by the yearbook dividend to find out how much the dividend payment will be, find the dampen on coronation a dividend payment represents by multiplying the dividend by the numerate paid per share of stoc k, Calculate the dividend-payment ratio, and then figure out the dividend overlay (earnings per share divided by the dividend) (Adkins, 2009-2013).As expressed early, more than not, members had a problem grasping the premise to calculating stock. In relation to each members employer organization, three of five have not had relations with stock or they are not aware of the exact actions their company takes when it comes to calculating stocks, dividends, or stock splits. One member did however adduce investing in stock indexes not including the organization she works for. other member shared how he was able to actually view an investment split which helped him better understand.3.3 Record treasury stock transactions.This objective seems to be the most confusing for the team. It is understood by all members that treasury stock is stock that has been issued by an organization, and then reacquired. However, there is still confusion close to understanding the concept behind it. One me mber did express that her organization buys treasury stock to help cover them in situations such as the fluctuation of the economy. They would also try to sell the stock for equal value so more people would want to invest.ReferencesAdkins, W. D. (2009-2013). How to Calculate a Dividend Payment. Retrieved from http// United Continental Holdings, Inc. (2010). Annual Report. Retrieved from http// Weygandt, J. J., Kimmel, P. D., & Kieso, D. E. (2010). pecuniary accounting (7th ed.). Hoboken, NJ John Wiley & Sons. Retrieved from University of Phoenix eBook database

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