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viktelen [127]
2 years ago
7

A corporation has $12 million net income after taxes, 5 million common shares outstanding, and $10 million of 6% preferred stock

($100 par). what is the corporation's earnings per share (eps)?
Business
1 answer:
Oduvanchick [21]2 years ago
7 0

$2.40., was incorrect. The correct answer was: $2.28.

Begin by calculating how much of the net income is available for common stockholders (net income after taxes minus preferred dividends equals earnings available for common stockholders). The preferred stockholders received $600,000 in dividends (100,000 pfd shares × $6 per share dividends = $600,000). After subtracting $600,000 from the net income of $12 million, this leaves $11.4 million (earnings available for common stockholders). Compute EPS (earnings available for common ÷ number of common shares outstanding = $11.4 million / 5 million shares = $2.28 per share EPS).

the qestion is incomplete .please read below to find the missing content

 A corporation has $12 million net income after taxes, 5 million common shares outstanding, and $10 million of 6% preferred stock ($100 par). What is the corporation's earnings per share (EPS)?

A) $2.52.

B) $1.20.

C) $2.28.

D) $2.40.

Earnings per share is the monetary value of earnings per outstanding share of a company's common stock. It is an important measure of a company's profitability and is often used in stock pricing.

EPS shows a company's profitability by showing how much profit the company makes for each share of its stock. The EPS figure is determined by dividing a company's net income by shares of common stock outstanding. However, the higher the EPS number, the more profitable the company.

Learn more about   EPS here

brainly.com/question/17186859

#SPJ4

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Ann, Bob, Carl, and Dan are randomly lined up. The first two players in line then play a game; the winner of that game plays a g
Furkat [3]

Answer:

The probability of Ann winning the prize is 2.464

Explanation:

The probability of Ann winning the prize can be analysed as potray below

1.pr(of Ann being the first player selected).

Here Ann plays the 2nd,3rd and 4th player to win prize,the probability=0.8×0.8×0.8=0.512

2.Pr(of Ann being the second player selected)

If Ann is randomly selected as the second player,she will still need to play three matches to win with 1st,3rd and 4th

0.8×0.8×0.8=0.512

3.Pr(of Ann. Being the third player chooses randomly),Ann will get to play just two players i.e the winner of 1and 2 and the 4th.the probability=0.8×0.8=0.64

4.Pr(of Ann being the 4th player choosen randomly)

Ann gets to play only one match to win the prize in this scenario

So probability of a Ann win is 0.8

Total probability a Ann winning the prize=0.512+0.512+0.64+0.8=2.464

5 0
3 years ago
Chester's balance sheet has $86,386,000 in equity. If next year, assets decrease by $4,000,000 and liabilities increase by $2,00
DaniilM [7]

Answer:

$88,386,000

Explanation:

The computation of the chester book value is shown below:

= Equity balance + decrease in assets in the next year - increased in liabilities for the next year

where,

Equity balance is $86,386,000

Decrease in assets is $4,000,000

Increased in liabilities $2,000,000

Now place these values to the above formula

So, the book value is

= $86,386,000 + $4,000,000 - $2,000,000

= $88,386,000

6 0
3 years ago
The process specifications are 12.45 and 13.45 minutes. Based on the data given, does it appear that specifications are being me
natima [27]

Answer:

a. Yes

Based on the data given, it appears that specifications are being met.

Explanation:

a) Data and Calculations:

         Sample 1    Sample 2    Sample 3    Sample 4  Sample 5        Average

                 12.5         13.4              13.0            13.2         12.9        65       13.00

                 12.7         13.2              13.6            12.7         13.5        65.7     13.14

                 12.9         13.0              13.3            13.3         13.2        65.7     13.14

                 13.2         13.1               13.4            12.7         13.2        65.6     13.12

Totals       51.4       52.7              53.2            51.9        52.7      261.9     52.4

Average 12.85      13.17               13.3            12.97      13.17                     13.1

b) Using the law of averages, the process specifications of 12.45 and 13.35 minutes were not exceeded under any sample type.  Therefore, it can be concluded that the process specifications are being met.

6 0
3 years ago
Presented below is information related to Novak Manufacturing Corporation.
svet-max [94.6K]

Answer:

A. Assets  Original   Salvage Depreciable  Depreciable   SL Depreciation

                   Cost        Value       value                  Life              Per Year

       A    $46,575      6,325       40,250                   10               $4,025

       B    $38,640      5,520       33,120                    9               $3,680

       C    $41,400      4,140         37,260                   9               $4,140

       D    $21,850      1,725         20,125                   7                $2,875

       E     <u>$27,025</u>     <u>2,875</u>        <u>24,150</u>                   6                 <u>$4,025</u>

   Total   <u>$175,490</u>   <u>20,585</u>     <u>154,905</u>                                   <u>$18,745</u>

Composite rate of Depreciation = Total Depreciation per year/Total Original Cost

Composite rate of Depreciation = 18745/175490

Composite rate of Depreciation = 0.106815

Composite rate of Depreciation = 10.68%

B.   Adjusting entry                                   Debit     Credit

Depreciation Expense-Plant Asset        $18,745

Accumulated Depreciation-Plant Asset                $18,745

c. Journal Entry                                           Debit       Credit

Cash                                                            $5,520

Accumulated Depreciation-Plant Assets  $16,330

Asset D                                                                         $21,850

(Record Sale of asset D)

5 0
3 years ago
How are command group in menu tabs
Lera25 [3.4K]

Answer:

Typically, related commands are clustered together on the same menu or toolbar. Menus typically are displayed as one-word strings clustered in a row at the top of the integrated development environment (IDE) or a tool window.

Explanation:

7 0
3 years ago
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