Question

Question 21 6 pts Auto Pilot Car Company had earnings per share of $4 last year and it paida $3 per share dividend. Total retained earnings increased by $6million during the year. Auto Pilot has no preferred stock, and no new common stock was issued during the year. The company has how many common shares outstanding during the year? O 4 million O 6 million O 5 million $40 million O cannot determine based on information

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Earnings per share = $4.00
Dividend per share = $3.00

Addition to Retained Earnings = Number of common shares outstanding * (Earnings per share - Dividend per share)
$6 million = Number of common shares outstanding * ($4.00 - $3.00)
$6 million = Number of common shares outstanding * $1.00
Number of common shares outstanding = 6 million

So, the company had 6 million common shares outstanding during the year.

Add a comment
Know the answer?
Add Answer to:
Question 21 6 pts Auto Pilot Car Company had earnings per share of $4 last year...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Auto Pilot Car Company had earnings per share of $4 last year and it paid a...

    Auto Pilot Car Company had earnings per share of $4 last year and it paid a $3 per share dividend. Total retained earnings increased by $6 million during the year. Auto Pilot has no preferred stock, and no new common stock was issued during the year. The company has how many common shares outstanding during the year?  

  • Junkyard Arts, Inc., had earnings of $268,100 for the year. The company had 33,000 shares of...

    Junkyard Arts, Inc., had earnings of $268,100 for the year. The company had 33,000 shares of common stock outstanding during the year and issued 2,800 shares of $150 par value preferred stock. The preferred stock has a dividend of $5 per share. There were no transactions in either common or preferred stock during the year. Determine the basic earnings per share for Junkyard Arts for the year.

  • Junkyard Arts, Inc., had earnings of $197,000 for the year. The company had 20,000 shares of...

    Junkyard Arts, Inc., had earnings of $197,000 for the year. The company had 20,000 shares of common stock outstanding during the year and issued 4,300 shares of $100 par value preferred stock. The preferred stock has a dividend of $10 per share. There were no transactions in either common or preferred stock during the year. Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places. $per share

  • Junkyard Arts, Inc., had earnings of $406,100 for the year. The company had 34,000 shares of...

    Junkyard Arts, Inc., had earnings of $406,100 for the year. The company had 34,000 shares of common stock outstanding during the year and issued 2,300 shares of $50 par value preferred stock. The preferred stock has a dividend of $11 per share. There were no transactions in either common or preferred stock during the year Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places. $per share

  • Junkyard Arts, Inc., had earnings of $426,600 for the year. The company had 35,000 shares of...

    Junkyard Arts, Inc., had earnings of $426,600 for the year. The company had 35,000 shares of common stock outstanding during the year and issued 4,100 shares of $150 par value preferred stock. The preferred stock has a dividend of $11 per share. There were no transactions in either common or preferred stock during the year. Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places. $________per share

  • Junkyard Arts, Inc., had earnings of $298,400 for the year. The company had 42,000 shares of...

    Junkyard Arts, Inc., had earnings of $298,400 for the year. The company had 42,000 shares of common stock outstanding during the year and issued 1,700 shares of $150 par value preferred stock. The preferred stock has a dividend of $10 per share. There were no transactions in either common or preferred stock during the year. Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places.

  • EPS Junkyard Arts, Inc., had earnings of $317,700 for the year. The company had 34,000 shares...

    EPS Junkyard Arts, Inc., had earnings of $317,700 for the year. The company had 34,000 shares of common stock outstanding during the year and issued 4,100 shares of $100 par value preferred stock. The preferred stock has a dividend of $7 per share. There were no transactions in either common or preferred stock during the year. Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places. $per share

  • EPS Junkyard Arts, Inc., had earnings of $161,700 for the year. The company had 28,000 shares...

    EPS Junkyard Arts, Inc., had earnings of $161,700 for the year. The company had 28,000 shares of common stock outstanding during the year and issued 2,100 shares of $50 par value preferred stock. The preferred stock has a dividend of $5 per share. There were no transactions in either common or preferred stock during the year. Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places. $per share

  • EPS Junkyard Arts, Inc., had earnings of $386,000 for the year. The company had 46,000 shares...

    EPS Junkyard Arts, Inc., had earnings of $386,000 for the year. The company had 46,000 shares of common stock outstanding during the year and issued 4,100 shares of $100 par value preferred stock. The preferred stock has a dividend of $10 per share. There were no transactions in either common or preferred stock during the year. Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places. per share

  • EPS Junkyard Arts, Inc., had earnings af $195,20o for the year. The company had 22,000 shares...

    EPS Junkyard Arts, Inc., had earnings af $195,20o for the year. The company had 22,000 shares of common stock outstanding during the year and issued 3,600 shares of $50 par value preferred stock. The preferred stack has a dividend of $9 per share. either common or preferred stack during the year. There were transactions Determine the basic earnings per share for Junkyard Arts for the year. Round answer to two decimal places. per share

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT