Question

Chapter 16: Earnings Per Share Calculations Assignment #1 Basic Earnings Per Share Example 1: Convertible Bonds Net Income: B
0 0
Add a comment Improve this question Transcribed image text
Answer #1

The answer has been presented in the supporting sheet. All the parts has been solved with detailed explanation and calculation. For detailed answer refer to the supporting sheet.

Answer e Part 1) Basic earning per share = net income / average shares outstanding = 1860 / 2000 5 = $ 0.93 5 Thus the correc

Part 3) Basic earning per share = net income / average shares outstanding 5 = 40000/10000 = = $4 3 Thus the correct answer is

Add a comment
Know the answer?
Add Answer to:
Chapter 16: Earnings Per Share Calculations Assignment #1 Basic Earnings Per Share Example 1: Convertible Bonds...
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
  • NEED HELP WITH BASIC AND DILLUTED FORMULAS. I have the correct answers, need to write this...

    NEED HELP WITH BASIC AND DILLUTED FORMULAS. I have the correct answers, need to write this in formula format! с н т у к BCD 1 Chapter 16: Earnings Per Share Calculations 2 Assignment #1 Basic Earnings Per Share = 4 Example 1: Convertible Bonds 5 Net Income: 6 Bonds Payable: 7 Stated Rate: 8 Tax Rate: AVG number of Share 9 Outstanding: Additional Sahres 10 after Conversion 1860 75000 0.08 0.4 Diluted Earning Per Share = 2000 7500 Basic...

  • if possible can you also put the formulas to plug in the excel file. thanks in...

    if possible can you also put the formulas to plug in the excel file. thanks in advance! Basic Earnings Per Share = Diluted Earning Per Share = 13 Example 2: Convertible Preferred Staocks 14 Net Income: 1200000 15 Preferred Stocks: 4000000 16 Dividend Rate: 0.06 17 Tax Rate: 0.4 AVG number of Share 18 Outstanding: 600000 Additional Sahres 19 after Conversion 200000 40000 1000 Basic Earnings Per Share = 22 Example 3: Options 23 Net Income 24 Number of Options:...

  • calculate earnings per share 1860 75000 0.08 4 Example 1: Convertible Bonds 5 Net Income: 6...

    calculate earnings per share 1860 75000 0.08 4 Example 1: Convertible Bonds 5 Net Income: 6 Bonds Payable: 7 Stated Rate: 8 Tax Rate: AVG number of Share 9 Outstanding: Additional Sahres 10 after Conversion 0.4 2000 7500 11

  • if possible can you also show the formula to plug in excel. thanks in advance! 1...

    if possible can you also show the formula to plug in excel. thanks in advance! 1 Chapter 16: Earnings Per Share Calculations 2 Assignment #1 Basic Earnings Per Share = 4 Example 1: Convertible Bonds 5 Net Income: 6 Bonds Payable: 7 Stated Rate: 8 Tax Rate: AVG number of Share 9 Outstanding: Additional Sahres 10 after Conversion 1860 75000 0.08 0.4 Diluted Earning Per Share = 2000 7500

  • 1.) Compute net income available to common stockholders. 2.) Compute basic earnings per share. Round to...

    1.) Compute net income available to common stockholders. 2.) Compute basic earnings per share. Round to two decimal places. 3.) Compute the foregone interest expense AFTER TAX on the convertible bonds. 4.) Compute the per share effect of the convertible bonds. Round to two decimal places. 5.) Compute the foregone dividends on the convertible preferred stock. 6.) Compute the per share effect of the convertible preferred stock. 7.) Compute the incremental increase in the number of shares outstanding for the...

  • DILUTED EARNING PER SHARE, CONVERTIBLE SECURITIES - ABC Corporation has weighted- average number of common stock...

    DILUTED EARNING PER SHARE, CONVERTIBLE SECURITIES - ABC Corporation has weighted- average number of common stock outstanding throughout 2018 of 450,000 shares. In addition, the corporation has $6,000,000 bonds, 7%, convertible into 100,000 common stock. During the year 2018, the corporation has net income of $900,000. Required: Compute the basic earnings per share and the diluted earnings per share. The tax rate is 30%.

  • Convertible Preferred Stock, Convertible Bonds, and EPS Francis Company has 12,000 shares of common stock outstanding...

    Convertible Preferred Stock, Convertible Bonds, and EPS Francis Company has 12,000 shares of common stock outstanding at the beginning of 2016. Francis issued 1,500 additional shares on May 1 and 1,000 additional shares on September 30. It also has two convertible securities outstanding at the end of 2016. These are: Convertible preferred stock: 1,250 shares of 9.0%, $50 par, preferred stock were issued on January 2, 2013, for $60 per share. Each share of preferred stock is convertible into 3...

  • Net income for the year $1,210,000 7% convertible bonds issued at par ($1,000 per bond); each...

    Net income for the year $1,210,000 7% convertible bonds issued at par ($1,000 per bond); each bond is convertible into 30 shares of common stock 1,970,000 6% convertible, cumulative preferred stock, $100 par value; each share is convertible into 3 shares of common stock 4,200,000 Common stock, $10 par value 5,820,000 Tax rate for 2021 20% Average market price of common stock $25 per share There were no changes during 2021 in the number of common shares, preferred shares, or...

  • Convertible Securities and Earnings per Share Percy Company has 15,000 shares of common stock outstanding during...

    Convertible Securities and Earnings per Share Percy Company has 15,000 shares of common stock outstanding during all of 2016. It also has 2 convertible securities outstanding at the end of 2016. These are: 1. Convertible preferred stock: 1,000 shares of 9%, $100 par, preferred stock were issued in 2015 for $140 per share. Each share of preferred stock is convertible into 3.5 shares of common stock. The current dividends have been paid. To date, no preferred stock has been converted....

  • BUS 203 - Review Chapter 16 Earnings per Share Handout Delta Digital Inc. has just closed...

    BUS 203 - Review Chapter 16 Earnings per Share Handout Delta Digital Inc. has just closed its books for 2019. The company follows GAAP when preparing its financial statements and earing per share data. The CFO of Delta is aware of the importance of earnings per share and has requested that you review the financial data below and prepare both Basic and Diluted Earnings per share for review with Delta's CEO next week. The following relevant financial information for 2019...

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