Bausch Health Companies took its eye care unit, Bausch + Lomb (BLCO) public with a public stock issuance in 2022. Bausch + Lomb had been a private company since 2007, when it had been purchased by two private equity firms. Bausch + Lomb sells contact lenses, eye drops, and implantable lenses for cataract surgery. It […]
Continue readingNew! Crossword puzzle to review stockholders’ equity concepts
Below are links to a crossword puzzle to review stockholders’ equity concepts in financial accounting. Both links are to the same puzzle, but one has a solution enabled and the other does not. Stockholders’ equity crossword puzzle: Share this link with your students to have them work on the puzzle without access to the solution. […]
Continue readingHow does Amazon’s 20-for-1 stock split impact its stockholders’ equity?
Amazon announced a 20-for-1 stock split in March 2022. This stock split was its first stock split in over twenty years. On the day that Amazon announced its stock split, one share of its stock was selling for $2,785.58. The stock split will occur at the close of business on June 3, 2022. The stock […]
Continue readingHow does Kellogg’s dividend announcement impact its financial statements?
On October 23, 2020, the Kellogg Company (brands include Kellogg’s, Pringles, Eggo, Cheez-It, and many others) made the following dividend announcement: Kellogg Company (NYSE: K) today announced that its Board of Directors declared a dividend of $0.57 per share on the common stock of the Company, payable on December 15, 2020, to shareowners of record […]
Continue readingHow will Cedar Point’s assets, liabilities, and equity be impacted by various transactions?
Cedar Point is an amusement park in Sandusky, Ohio, owned by Cedar Fair Entertainment Company. Over 3.5 million people visit Cedar Point each year between May and October. It covers 364 acres and has more than 150 rides and attractions, including 16 roller coasters. Cedar Point is the second oldest continuously operating amusement park in […]
Continue readingWhat is the impact on Snapchat’s balance sheet from its latest issuance of stock?
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 […]
Continue readingHow would Square’s IPO impact its balance sheet and income statement?
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?
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 readingHow does a convertible bond issued by Fiat Chrysler Automobile affect the company’s balance sheet?
Fiat Chrysler Automobiles (FCA) launched a $2.5 billion convertible bond issue in December 2014. FCA will be using the funds generated from the bond issue to help to turn its Jeep, Maserati, and Alfa Romeo brands into global brands, competing directly against Volkswagen and BMW in the premium car market. The bond issue will mature […]
Continue readingWhat happens to the balance sheet of Trump Taj Mahal if billionaire investor exchanges debt for equity?
An Atlantic City casino, the Trump Taj Mahal, has been struggling financially in recent years like many other casinos in the city. In 2014, four of Atlantic City’s casinos closed their doors, including the Revel, Showboat, Trump Plaza, and the Atlantic Club. Billionaire investor Carl Icahn holds $286 million of the Trump Taj Mahal’s debt. […]
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