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Bad White [126]
3 years ago
13

On January 1, 2021, Perez Co. issued at par $10,000 of 6% bonds convertible in total into 1,000 shares of Perez's common stock.

No bonds were converted during 2021. Throughout 2021, Perez had 1,000 shares of common stock outstanding. Perez's 2021 net income was $4,500, and its income tax rate is 30%. No potentially dilutive securities other than the convertible bonds were outstanding during 2021. Perez's diluted earnings per share for 2021 would be:_________.a. $5.00.
b. $4.54.
c. $4.50.
d. $4.72.
Business
1 answer:
marusya05 [52]3 years ago
7 0

Answer:

EPS = $4.50

diluted EPS = $2.46

Explanation:

no option is correct since EPS = $4.50, and the rest of the options are all higher amounts. Diluted EPS are always smaller than EPS.  

common stock outstanding = 1,000 stocks

bonds shares (diluted) = 1,000 stocks

net income = $4,500

bond interest = $10,000 x 6% x (1 - 30%) = $420

diluted earnings per share = ($4,500 + $420) / (1,000 shares + 1,000 shares) = $4,920 / 2,000 shares = $2.46

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Answer:

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The Opportunity Cost of attending a 4 year college with full time schedule & living on campus would be the foregone income another student earns who works in an organization for those same number of hours for the same duration of 4 years and also the fees paid for those 4 years at the college which if would've been banked or invested would've yielded a return.

The reason for choosing a four year college experience over above mentioned alternatives could be the in the form of expected higher income once an individual avails a degree.

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3 years ago
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Answer:

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1 year ago
Which of the following would best describe what would happen to the time value at the same nominal annual rate of a cash flow as
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Answer:

A) Both the present value and future value would increase.

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Both the present value and the future value vary jointly, if the present value decreases, then the future value will also decrease, and vice versa.

7 0
4 years ago
A flying squid (family Ommastrephidae) is able to "jump" off the surface of the sea by taking water into its body cavity and the
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Answer: V=7.43m/s

d =2.82m

Explanation:

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there are no external forces acting on the system at the moment of ejection, so we can find the speed of the squid by noting

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Answer:

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