Computing Diluted EPS: Stock Options Rand Inc. had net income of $2,320,000. During the year, 600,000 shares were outstanding on average and Rand's common stock sold at an average market price of $50 per share. In addition, Rand had 60,000 stock options outstanding to purchase a total of 60,000 common shares at $25 for each option exercised. Required a. Compute basic EPS. b. Compute diluted EPS. Note: Round earnings per share amounts to two decimal places. Net Income Available to Common Stockholders Weighted Avg. Common Shares Outstanding Per Share Basic EPS Answer Answer Answer Diluted EPS Answer Answer Answ
Computing Diluted EPS: Stock Options Rand Inc. had net income of $2,320,000. During the year, 600,000 shares were outstanding on average and Rand's common stock sold at an average market price of $50 per share. In addition, Rand had 60,000 stock options outstanding to purchase a total of 60,000 common shares at $25 for each option exercised. Required a. Compute basic EPS. b. Compute diluted EPS. Note: Round earnings per share amounts to two decimal places. Net Income Available to Common Stockholders Weighted Avg. Common Shares Outstanding Per Share Basic EPS Answer Answer Answer Diluted EPS Answer Answer Answ
Chapter1: Financial Statements And Business Decisions
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Computing Diluted EPS: Stock Options
Rand Inc. had net income of $2,320,000. During the year, 600,000 shares were outstanding on average and Rand's common stock sold at an average market price of $50 per share. In addition, Rand had 60,000 stock options outstanding to purchase a total of 60,000 common shares at $25 for each option exercised.
Required
a. Compute basic EPS.
b. Compute diluted EPS.
Note: Round earnings per share amounts to two decimal places.
| Net Income Available to Common Stockholders |
Weighted Avg. Common Shares Outstanding |
Per Share |
|
|---|---|---|---|
| Basic EPS | Answer | Answer | Answer |
| Diluted EPS | Answer | Answer | Answer |
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