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3 years ago

The information below pertains to Barkley Company for 2015.

Business

1 answer:

Nataliya [291]3 years ago

6 0

Answer:

EPS: 3.04

Diluted EPS: 2.50

Explanation:

Earnings per share:

$EPS = \frac{income - preferred \: dividends}{common \: stock}$

preferred dividends: 2,112,000 x 6% = 126,720

2,240,000 income - 126,720 = 2,113,280‬

outstanding shares:

$6,959,000 / 10 each = 695,900

EPS 2,113,280 / 695,900 = 3,03675

Diluted EPS:

we will calculate as if all possible new share option are exercised.

convertible bonds

2,240,000 / 1,000 = 2,240 bonds

2,240 bonds x 30 possible new shares = 67,200

convertible preferred stock

2,112,000 / 100 = 2,112 preferred stock

2.112 x 3 possible new shares = 6,336‬

stock option: 75,800

Total shares: 695,900 + 67,200 + 6,336 + 75,800 = 845,236

2,113,280‬ / 845,236 = 2,50022 = 2.50

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2 years ago

Moji Mont Company has a debt-equity ratio of .25. The required return on the company’s unlevered equity is 15 percent, and the p

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The company's worth is $24,420,000 if it is financed entirely by equity

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3 years ago

Use the drop-down menu below to choose the best job for each example given.

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2 years ago

Read 2 more answers

To increase total asset turnover, management must either increase sales or reduce total stockholders’ equity.A. TrueB. False

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Answer:

FALSE

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Remember, total asset turnover is calculated using a ratio that measures how the management was able to use its assets to efficiently increase sales. Usually the total asset turnover is gotten by dividing a company's sales by its total assets.

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3 years ago

An asset has an average return of 10.94 percent and a standard deviation of 20.98 percent. What range of returns should you expe

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If the standard deviation is 20.98%. The range you should expect to see with a 95 percent probability is: -31.02 percent to +52.9 percent.

<h3>Expected range of return </h3>

Expected range of return = 10.94 percent ± 2(20.98 percent)

Expected range of return =[10.94 percent- 2(20.98 percent)]; [10.94 percent + 2(20.98 percent)]

Expected range of return =(10.94 percent- 41.96 percent); (10.94 percent + 41.96 percent

Expected range of return = -31.02 percent to +52.9 percent

Inconclusion the range of returns is: -31.02 percent to +52.9 percent.

Learn more about expected range of return here:brainly.com/question/25821437

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