Snapchat is one of the fastest growing social media platforms with 16 to 24 year olds. Snapchat is privately-held, which means its stock cannot be purchased on a stock exchange. It may be getting ready for an IPO (initial public offering) sometime later in 2016 or 2017. In the meantime, Snapchat is obtaining funding for operations […]
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Tag Archives: common stock
How would Square’s IPO impact its balance sheet and income statement?
April 12, 2016 
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Square, Inc., is an electronics payment company. Its small credit card readers plug into smartphones, making it easy for sellers to accept credit and debit card payments. Jack Dorsey, the founder of Square and Twitter) is said to have been inspired to start Square in 2009 when a friend of his was unable to complete […]
Continue readingHow would Reverb, the online marketplace for musicians, record its issuance of $25 million of stock?
February 9, 2016 0 Comments
Started in 2013, Reverb is a company that provides an online marketplace for musicians to buy and sell gear. Its investors include country music superstar Brad Paisley and Rick Nielsen of Cheap Trick. Reverb can be thought of as the “Ebay for musicians.” The wide scope of the Ebay marketplace makes it hard at times […]
Continue readingWhat happens from an accounting standpoint when FNB Bancorp issues a stock dividend?
December 10, 2015 0 Comments
FNB Bancorp recently declared a stock dividend, according to a recent news release[1]: FNB Bancorp (OTCQB: FNBG), the holding company for First National Bank of Northern California, announced that its Board of Directors has declared a stock dividend of approximately 210,709 shares, payable at the rate of one share of Common Stock for every twenty (20) shares of […]
Continue readingWhat does Kohl’s 2015 Form 10-K communicate about its stockholders’ equity?
April 14, 2015 2 Comments
Kohl’s Corporation (KSS) operates department stores in 49 states in the U.S. and has annual sales in excess of $18 billion. Its fiscal year ends on the Saturday closest to January 31 each year. Kohl’s has several line items comprising its stockholders’ equity. See the excerpts to follow from Kohl’s 2015 Form 10-K: its Consolidated […]
Continue readingHow does Birchbox report its issuance of $50 million in equity?
April 21, 2014 0 Comments
Birchbox, Inc., is privately-held. It was founded in 2010 by Hayley Barna and Katia Beauchamp and has its headquarters in New York City. Birchbox offers a subscription service that delivers samples of beauty products to its subscribers. Subscribers can also purchase full-size versions of the products on Birchbox’s website. Birchbox currently has more than 400,000 […]
Continue readingHow would Crocs account for the conversion of its preferred stock into common stock?
April 3, 2014 0 Comments
At the end of December 2013, Crocs Inc. announced that Blackstone Group is investing $200 million into the footwear company in the form of a preferred stock purchase. In three years, the preferred stock shares owned by Blackstone Group will convert into common shares if the Crocs common stock market price rises to a certain […]
Continue readingWhat is the impact of the Candy Crush Saga maker’s IPO on its balance sheet?
April 2, 2014 0 Comments
King Digital Entertainment (NYSE: KING), the maker of the Candy Crush Saga app, had its initial public offering (IPO) the week of March 24th, 2014. King’s stock was priced at $22.50 per share for the IPO; its par value is $0.000197 per share. The IPO raised about $500 million for King. Assume that approximately 2,300,000 […]
Continue readingHow would Crocs recognize the preferred stock issued to Blackstone Group?
March 3, 2014 0 Comments
At the end of December 2013, Crocs Inc. announced that Blackstone Group is investing $200 million into the footwear company in the form of a preferred stock purchase. In three years, the preferred stock shares owned by Blackstone Group will convert into common shares if the Crocs common stock market price rises to a certain […]
Continue readingWhat is the balance sheet impact of Crocs’ repurchase of its own shares of stock?
February 3, 2014 0 Comments
At the end of December 2013, Crocs Inc. announced that Blackstone Group is investing $200 million into the footwear company in the form of a preferred stock purchase. Crocs plans to use the $200 million plus another $150 million of cash it already has on hand to repurchase its own common shares during the first […]
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