Question -
1. Interpret auditors' opinion. To what extent is the auditors' opinion an indicator of a company's future financial success and future cash dividends to stockholders?
2. Calculate EPS and dividends per share before stock split. For several years Orbon, Inc. has followed a policy of paying a cash dividend of $1.20 per share and having a 10% stock dividend. In the 2011 annual report,Orbon reported restated earnings per share for 2009 of $2.70.
a. Calculate the originally reported earnings per share for 2009. Round your answer to two decimal places.
b. Calculate the restated cash dividend per share for 2009 reported in the 2011 annual report for comparative purposes. Round your answer to two decimal places.