146.(a) Discuss factors contributing to the trend to fair value accounting.
(b)What are some of the disadvantages associated with using fair value?
147.On April 1, ValueTime, Inc. had a market price per common share of $24. For the previous year, ValueTime paid a
148.Nicer Corporation reported net income of $50,000 in the current year. There are 10,000 shares of $100 par, 6%preferred stock and 50,000 shares of $2 par common stock outstanding. During the year, Nicer paid the preferredstockholders a $6 per share dividend and also paid $30,000 to common shareholders. The market value of Nicer’sstock is preferred stock, $95, and common stock, $5.00.
(a) Calculate Nicer’s dividend yield.
(b) Why does the dividend yield vary widely across firms?
149.Gerardo Company had a net income of $75,000 and other comprehensive income of $12,500 for the year. OnJanuary 1, the retained earnings balance was $525,000 and the accumulated other comprehensive income balancewas $55,000. Determine the (a) comprehensive income for the year, (b) retained earnings balance on December31, and (c) the accumulated other comprehensive income on December 31.