Appleton Enterprise Limited has 200,000 ordinary shares ($1.00 par value) of outstanding and fully paid up as at January 1, 2013. Appleton Enterprise Limited issued 70,000 ordinary shares of $10 each on July 1 2013 at full market value fully paid in cash. 75,000 ordinary shares issued as a bonus on 1 August 2013 and the net income for 2013 was $1.5m. On October 1, 2014 the company bought back 45,000 ordinary shares at full market value. There were 500,000 15 % cumulative preference shares at par value of $5 each at January 1, 2013. The net income for 2014 was $1.8m. Required: i. Calculate the weighted average number of shares for both year 2013 and 2014 ii. Calculate the EPS for year 2013 and 2014

Appleton Enterprise Limited has 200,000 ordinary shares ($1.00 par value) of outstanding and fully paid up as at January 1, 2013. Appleton Enterprise Limited issued 70,000 ordinary shares of $10 each on July 1 2013 at full market value fully paid in cash. 75,000 ordinary shares issued as a bonus on 1 August 2013 and the net income for 2013 was $1.5m. On October 1, 2014 the company bought back 45,000 ordinary shares at full market value. There were 500,000 15 % cumulative preference shares at par value of $5 each at January 1, 2013. The net income for 2014 was $1.8m. Required: i. Calculate the weighted average number of shares for both year 2013 and 2014 ii. Calculate the EPS for year 2013 and 2014

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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