All categories

2 years ago

The information below pertains to Barkley Company for 2015.

Business

1 answer:

Nataliya [291]2 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

You might be interested in

True or False: Economists believe that social regulation is an exception to the MB = MC rule because social regulation should in

Soloha48 [4]

Answer:

TRUE

Explanation:

The statement is True. Economists believe that social regulation is an exception to the MB=MC rule. The social regulation is an important aspect for a company as a repsonsibility towards the society. There must be awareness among the customers about the products offered to them and advantages of its utilisation to them. This includes the efforts of the companies to advertise the product ina proper manner. It also requires the company to be fair with their customers with respect to the ingredients or the raw material to be used by the manufacturers of the products. The working conditions of the manufacturing firms must be adequate for the employees to deliver an efficient product.

Thanks

8 0

2 years ago

A Japanese worker can produce 6 units of steel or 3 televisions per hour. A Korean worker can produce 8 units of steel or 2 tele

kifflom [539]

Answer:

2 and 4

Explanation:

Japanese worker can produce 6 units of steel or 3 televisions per hour.

Korean worker can produce 8 units of steel or 2 televisions per hour.

Opportunity cost is the cost of the lost alternative. So when the country decides to produce only televisions it has to give up on steel production. Thus, the units of steel forgone for each unit of television gained is an opportunity cost of a television.

$Opportunity cost = \frac{Units of Steel lost}{Units of Television gained}$

Thus,

Opportunity cost of television for Japan = $\frac{6}{3} = 2$

Opportunity cost of television for Korea = $\frac{8}{2} = 4$

7 0

2 years ago

Which of the following statements is correct? Group of answer choices The normal balance of revenue is a debit. The normal balan

kaheart [24]

Answer:

The normal balance of liabilities is a credit.

Explanation:

In the double entry system one account must be debited in order for the other to be credited.

There are different balances for each account. For the accounts with normal credit balance a credit causes it to increase while a debit decreases it.

For accounts with negative balance a credit reduces its balance while a debit increases its balance.

- Asset: Debit

- Expense: Debit

- Dividends: Debit

- Liability: Credit

- Owner’s Equity: Credit

- Revenue: Credit

- Retained Earnings: Credit

Liabilities are debt owed by a business. When payment is given out to settle a debt (a debit) it reduces to amount a business owes.

If more loans are collected (a credit) the liability figure increases.

So liability has a normal credit balance

5 0

2 years ago

Suppose that the populations of the United States and China both increase by 12 million people in one year. What would be the re

JulijaS [17]

Answer:

In the given year, American population grew by 4% while China's population grew by 1.2%.

Explanation:

The present problem establishes that in one year the populations of China and the United States both increased by 12 million people. But both countries have different populations: China has a population of 1 billion inhabitants, while the United States has 300 million.

To determine the percentage of population increase in each country, we must perform cross multiplications:

-U.S:

300 = 100

12 = X

(12 x 100) / 300 = X

1,200 / 300 = X

4 = X

The United States grew by population 4% in the year.

-China:

1,000 = 100

12 = X

(12 x 100) / 1,000 = X

1,200 / 1,000 = X

1.2 = X

China grew by population 1.2% in the same period of time.

8 0

3 years ago

Read 2 more answers

What does written business communication skills include?

Art [367]

Learn how to talk and write and spell

4 0

3 years ago