Chapt 2
-What is the difference between book value per share of common stock and market value per share? Why does this disparity occur?
-What is the difference between accumulated depreciation and depreciation expense? How are they related?
-Comment on why inflation may restrict the usefulness of the balance sheet as normally presented
-what are the three primary sections of the statement of cash flows? In what section would the payment of a cash dividend be shown
-Bettis Bus Company had earnings after taxes of $600,000 in the year 2009 with 300,000 shares of stock outstanding. On January 1, 2010, the firm issued 40,000 new shares. Because of the proceeds from these new shares and other operating improvements, earnings after taxes increased by 25 percent.
a . Compute earnings per share for the year 2009.
b.Compute earnings per share for the year 2010.