Students also viewed
The balance sheet for Garcon Inc. at the end of the current fiscal year indicated the following:
Income before income tax was $3,000,000, and income taxes were$1,200,000 for the current year. Cash dividends paid on common stock during the current year totaled $1,200,000. The common stock was selling for$32 per share at the end of the year. Determine the (e) dividends per share of common stock. Round to one decimal place, except earnings per share, which should be rounded to two decimal places.
Hansel Corporation has requested bids from several architects to design its new corporate headquarters. Frey Architects is one of the firms bidding on the job. Frey estimates that the job will require the following direct labor.
|Labor||Estimated Hours||Hourly Rate|
Frey applies overhead to jobs at 175% of direct labor cost. Frey would like to earn at least$80,000 profit on the architectural job. Based on past experience and market research, it estimates that the competition will bid between $285,000 and$350,000 for the job.
- What is Frey’s estimated cost of the architectural job?
- What bid would you suggest that Frey submit?