1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
lana [24]
3 years ago
6

For the year ended December 31, 2016, Norstar Industries reported net income of $655,000. At January 1, 2016, the company had 90

0,000 common shares outstanding. The following changes in the number of shares occurred during 2016: Apr. 30 Sold 60,000 shares in a public offering. May 24 Declared and distributed a 5% stock dividend. June 1 Issued 72,000 shares as part of the consideration for the purchase of assets from a subsidiary. Required: Compute Norstar's earnings per share for the year ended December 31, 2016.
Business
1 answer:
anastassius [24]3 years ago
5 0

Answer:

1.272 per share

Explanation:

The computation of earnings per share is shown below:-

Weighted Average number of Common shares outstanding = outstanding common shares ÷ Net income

= 900,000 ÷ $707,810

= 1.272 per share

Where,

Net Income = Preferred Dividends ÷ Weighted Average number of Common shares outstanding

= $655,000 ÷ (1 + 0.05) + ( 60,000 × 8 months ÷ 12 months) × 1.05 + (72,000 × 7 months ÷ 12 months)

= $623,810 + 40,000 × 1.05 + 42,000

= $623,810 + 42,000 + 42,000

= 707,810

You might be interested in
PLEASE HELP URGENT 30 points!
solniwko [45]

Answer:

that would be employers or acquaintances

3 0
3 years ago
Read 2 more answers
Rhubarb pie is a dessert. therefore, whoever eats rhubarb pie eats a dessert
miskamm [114]
The argument above is a deductive reasoning. A deductive reasoning draws a conclusion from a series of premises that are held to be true. The argument also employs no informal fallacy. The confusion lies though on the first premise if it is true.
5 0
3 years ago
Real estate is a great investment for everyone, particularly since the money is more liquid than common stocks.
sveta [45]
This answer is FALSE - FUN FACT - Liquidity of money refers to the ease with which the owner of an asset can convert it into cash it is easier to convert common stocks into cash rather than attempt to raise cash from sale or mortgage of real estate assets
5 0
3 years ago
Read 2 more answers
During the current year, Cary and Bill incurred acquisition debt on their residence of $1,300,000 and a home equity loan of $200
77julia77 [94]

Answer:

qualified acquisition debt = $750,000

qualified home equity debt = $0

Explanation:

Qualified acquisition debt refers to the debt incurred to purchase or build your home. In this case, Cary and Bill are allowed to itemize the interests paid for up to $750,000 of the acquisition debt ($375,000 if filing separately). This limit was reduced due to the TCJA of 2017, and will remain in place until 2025. After 2025, the limit will return to the normal $1,000,000.

Certain amount of interests on qualified home equity loans will also return in 2025, but currently they are not deductible.  

8 0
3 years ago
The drawee is the
IRINA_888 [86]

Answer:

C

Explanation:

The drawee is the bank with which the drawer has an account.

8 0
2 years ago
Other questions:
  • Candela Company has retained earnings of $500,000, common stock of $400,000, and total common stockholders’ equity of $1,200,000
    7·1 answer
  • George manages inventory for a company. The company has been struggling to reduce production costs in all departments for severa
    6·1 answer
  • In the early 1930’s, _____________ had less revenue from taxes and believed in a balanced budget (taxes = revenue), so _________
    10·1 answer
  • Without quality, the firm's products: a. can compete effectively on the basis of low price. b. must be exported to developing co
    11·1 answer
  • Nolan is applying for a promotion within his company. The formal statement about the job says that he must have a four-year coll
    10·1 answer
  • Please submit your idea for a practical, innovative, and marketable product or service (it’s just for a project)
    7·1 answer
  • The ___________________Party believes in individual freedom and that the only purpose of government is to protect this freedom.
    13·1 answer
  • Why do you think an entrepreneur might choose to keep a business small rather than expand it?​
    6·1 answer
  • Which brokers allow residents to hold trading accounts
    8·1 answer
  • Michael has been saving his money and wants to invest it. After doing some research, he has decided to invest $20,000 into a Cer
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!