ZuoTi.Pro
Question

Ivanhoe Corporation earned net income of $275,800 in 2020 and had 116,000 shares of common stock...

Ivanhoe Corporation earned net income of $275,800 in 2020 and had 116,000 shares of common stock outstanding throughout the year. Also outstanding all year was $900,000 of 9% bonds, which are convertible into 17,000 shares of common. Ivanhoe’s tax rate is 30 percent.

Compute Ivanhoe’s 2020 diluted earnings per share. (Round answer to 2 decimal places, e.g. 3.55.)

Diluted earnings per share $Entry field with incorrect answer
business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Basic earning per share = 275800/116000 = 2.38

Diluted earning per share = Adjusted net income/Adjusted shares

Adjusted net income = 275800+(900000*9%*70%) = 332500

Adjusted shares = 116000+17000 = 133000

Diluted earning per share = 2.38 per share

Diluted earning per share = 332500/133000 =2.50

0 1
Add a comment
Know the answer?
Add Answer to:
Ivanhoe Corporation earned net income of $275,800 in 2020 and had 116,000 shares of common stock...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

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

  • Martinez Corporation earned net income of $520,350 in 2020 and had 115,000 shares of common stock...

    Martinez Corporation earned net income of $520,350 in 2020 and had 115,000 shares of common stock outstanding throughout the year. Also outstanding all year was $750,000 of 9% bonds, which are convertible into 17,000 shares of common. Martinez’s tax rate is 30 percent. Compute Martinez’s 2020 diluted earnings per share. (Round answer to 2 decimal places, e.g. 3.55.) Diluted earnings per share $enter diluted earnings per share in dollars rounded to 2 decimal places

  • Bridgeport Corporation earned net income of $466,800 in 2020 and had 91,000 shares of common stock...

    Bridgeport Corporation earned net income of $466,800 in 2020 and had 91,000 shares of common stock outstanding throughout the year. Also outstanding all year was $850,000 of 5% bonds, which are convertible into 19,000 shares of common. Bridgeport’s tax rate is 20 percent. Compute Bridgeport’s 2020 diluted earnings per share. (Round answer to 2 decimal places, e.g. 3.55.) Diluted earnings per share $enter diluted earnings per share in dollars rounded to 2 decimal places Please show work so I can...

  • Sage Corporation reported net income of $231,840 in 2020 and had 186,000 shares of common stock...

    Sage Corporation reported net income of $231,840 in 2020 and had 186,000 shares of common stock outstanding throughout the year. Also outstanding all year were 58,500 options to purchase common stock at $11 per share. The average market price of the stock during the year was $15. Compute diluted earnings per share. (Round answer to 2 decimal places, e.g. 3.55.) Diluted earnings per share $ Pearl Corporation reported net income of $213,860 in 2020 and had 53,900 shares of common...

  • Sandhill Corporation earned net income of $390,950 in 2020 and had 111,000 shares of common stock...

    Sandhill Corporation earned net income of $390,950 in 2020 and had 111,000 shares of common stock outstanding throughout the year. Also outstanding all year was $850,000 of 9% bonds, which are convertible into 16,000 shares of common. Sandhill’s tax rate is 30 percent. Compute Sandhill’s 2020 diluted earnings per share

  • Riverbed Corporation reported net income of $259,140 in 2020 and had 52,100 shares of common stock...

    Riverbed Corporation reported net income of $259,140 in 2020 and had 52,100 shares of common stock outstanding throughout the year. Also outstanding all year were 4,800 shares of cumulative preferred stock, each convertible into 2 shares of common. The preferred stock pays an annual dividend of $5 per share. Riverbed’s tax rate is 40%. Compute Riverbed’s 2020 diluted earnings per share. (Round answer to 2 decimal places, e.g. 3.55.) Diluted earnings per share $

  • Brief Exercise 16-13 Rockland Corporation earned net income of $300,000 in 2017 and had 100,000 shares...

    Brief Exercise 16-13 Rockland Corporation earned net income of $300,000 in 2017 and had 100,000 shares of common stock outstanding throughout the year. Also outstanding all year was $800,000 of 9% bonds, which are convertible into 16,000 shares of common. Rockland’s tax rate is 40 percent. Compute Rockland’s 2017 diluted earnings per share. (Round answer to 2 decimal places, e.g. 3.55.) Diluted earnings per share $

  • Sandhill Corporation reported net income of $550,000 in 2020 and had 900,000 common shares outstanding throughout...

    Sandhill Corporation reported net income of $550,000 in 2020 and had 900,000 common shares outstanding throughout the year. On May 1, 2020, Sandhill issued 5% convertible bonds. Each $1,000 bond is convertible into 120 common shares. Total proceeds at par amounted to $1,000,000, and was allocated to the liability and equity components under the residual value method. The liability component was measured first, at present value of the stream of interest payments plus present value of the bond maturity value,...

  • Brief Exercise 16-13 Waterway Corporation camed net income of $370,000 in 2017 and had 104,000 shares of common sto...

    Brief Exercise 16-13 Waterway Corporation camed net income of $370,000 in 2017 and had 104,000 shares of common stock outstanding throughout the year. Also outstanding 9% bonds, which are convertible into 19,000 shares of common. Waterway's tax rate is 30 percent. year was 10,000 of Compute Waterway's 2017 diluted earnings per share. (Round answer to 2 decimal places, e.. 3.55.) Diluted earnings per share Click if you would like to show Work for this question Open Show Work

  • Shamrock Corporation reported net income of $300,780 in 2017 and had 45,900 shares of common stock...

    Shamrock Corporation reported net income of $300,780 in 2017 and had 45,900 shares of common stock outstanding throughout the year. Also outstanding all year were 4,900 shares of cumulative preferred stock, each convertible into 2 shares of common. The preferred stock pays an annual dividend of $5 per share. Shamrock’s tax rate is 30%. Compute Shamrock’s 2017 diluted earnings per share. (

  • Brief Exercise 16-14 Nash Corporation reported net income of $213,860 in 2017 and had 53,00 shares...

    Brief Exercise 16-14 Nash Corporation reported net income of $213,860 in 2017 and had 53,00 shares of common stock outstanding throughout the year. Als outstanding year were 4500 shares of cumulative preferred stock, each convertible into 2 shares of common. The preferred stock pays an annual dividend of $5 per share Na's tax rate is 50% Compute Nash's 2017 diluted earnings per share. (Round answer to 2 decimal places.. 3.55.) Diluted earnings per shares Click if you would like to...

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
Active Questions
ADVERTISEMENT