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3 years ago

At December 31, 2021, the financial statements of Hollingsworth Industries included the following:

Business

1 answer:

Degger [83]3 years ago

5 0

Answer:

Basic EPS = $1.34 million

Diluted EPS = $1.23 million

Explanation:

As per the data given in the question,

Share on Jan-1 = 400 million

On Sep 1 Treasury shares = 12 million (36 million × 4 months ÷ 12 months )

No. of shares = 400 - 12 = 388 million

Basic EPS = Net income ÷ number of outstanding shares

= $520 million ÷ 388 million

= $1.34 million

Diluted EPS :

Net income = $520 million

After tax interest saving = $8 (20 million - (40% × 20 million ))

The 20 million is come from

= $520 million ×8%

= 20 million

Adjusted net income = $520 + $8 = $528 million

No. of shares as computed above = 388 million

Bond conversion shares = 40 million

Total share outstanding = 388 + 40 = 428 million

Diluted EPS = $528 million ÷ 428 million

= $1.23

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Suppose that a worker in Agland can produce either 10 units of organic grain or 2 units of incense per year, and a worker in Zen

dybincka [34]

Answer:

D) or E) (are this the same?) 50 units of grain and 130 units of incense

Explanation:

Agland has an advantage producing Organic grain, and Zealand producing Incense, So:

If Agland specialices in producing organic grain it would produce with 20 workers 200 units of grain a year.

If Zealand specialices in producing Incense, it would produce with 10 workers 150 units of incense a year.

This gives a Total combined output of 200 units of grain and 150 unit of incense a year.

Given that the total current output of the two countries is 150 units of grain and 20 units of incense it would increase in 50 units of grain and 130 units of incense.

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3 years ago

RGDP in the United States has grown at an average annual rate of 3% in the last couple of decades. If the RGDP annual growth rat

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Explanation:

i=interest rate

X=current rate

2X = double current rate

n = number of years

Calculate time it takes to double at 3%:

2X = X(1+i)^n

simplify by cancelling out X

(1+i)^n = 2

substitute i = 3%

(1.03)^n =2

take log

n*log(1.03) = log(2)

n = log(2)/log(1.03) = 0.6931/0.02956 = 23.45 years

Similarly, for growth rate of 7%,

n = log(2)/log(1.07) = 0.6931 / 0.06766 = 10.24 years

So the difference is 23.45-10.24 = 13.21 years (to the hundredth) sooner

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3 years ago

The price of a coupon bond and the yield to maturity are ________ related; that is, as the yield to maturity ________, the price

shepuryov [24]

Based on the relationship between the above mentioned measures, the following is true:

Price and yield to maturity are <u>inversely </u>related.
When YTM <u>rises</u>, the price of the bond <u>falls</u>.

<h3>What is Yield to Maturity?</h3>

It is the discount rate on the bond.
It shows the riskiness of the bond.

When the YTM is high, it means that the bond is more risky which leads to it having a lower price to compensate for the risk. The reverse is true.

Find out more on YTM at brainly.com/question/15172286.

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2 years ago

Corporate strategy for a diversified or multi-business enterprise chiefly concerns the development of a strategic vision a set o

harkovskaia [24]

Answer:

Corporate Strategy

Corporate strategy for a diversified or multi-business enterprise:

"concerns strategy initiatives to establish business positions in different industries, whether to hold or divest from existing businesses, strategic actions to boost the combined performance of the set of businesses the company has diversified into, and how to capture cross-business synergies, and then turn them into a competitive advantage."

Explanation:

Corporate strategy is concerned with market growth, stability, and organizational renewal. The purpose of corporate strategy is to achieve greater profitability, higher market share, and sustainable growth in revenue through product and market diversification. A corporate organization, in trying to grow, engages in business restructuring, establishing strategic partnerships, and achieving organizational excellence. These activities emanate from corporate strategic planning.

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2 years ago

You purchase one IBM July 120 put contract for a premium of $3. You hold the option until the expiration date when IBM stock sel

ZanzabumX [31]

Answer:

Loss on putting for long time = $300 (Loss )

Explanation:

Given:

Strike price = $120

Stock price = $123

Premium amount = $3 per share

Realize on investment = ?

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Given that strike price is lower than the stock price, So premium paid considers as a loss.

Loss on putting for long time = $3 × 100

Loss on putting for long time = $300 (Loss )

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3 years ago