The Following Financial Information Is Available for Duncan Corporation

question 126

Essay

The following financial information is available for Duncan Corporation.
The weighted average number of shares of common stock outstanding was 80,000 for 2009 and 100,000 for 2010.
Instructions
Calculate earnings per share and return on common stockholders' equity for 2010 and 2009.

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Definitions:

Control Purpose

The objective of establishing procedures and mechanisms to manage and regulate operations, processes, or systems to achieve desired outcomes.

Capacity Costs

Expenses related to the maximum level of production or service capacity that a business can achieve, including costs for maintaining and operating production facilities.

Variable Overhead Spending Variance

The difference between the actual variable overhead costs incurred and the expected costs allotted for the actual level of activity.

Unfavourable

Describes an outcome or condition that is not beneficial or desired, often used in financial contexts to indicate underperformance.