Dayton, Inc. had 100,000 shares of common stock outstanding at January 1, 2022. On March 31, 2022, an additional 24,000 shares were sold for cash. Dayton also had $8,000,000 of 6% convertible bonds outstanding throughout the year. The bonds are convertible into 80,000 shares of common stock. Net income for the year was $700,000. The tax rate is 25% Calculate both the basic and dilutive EPS
Dayton, Inc. had 100,000 shares of common stock outstanding at January 1, 2022. On March 31, 2022, an additional 24,000 shares were sold for cash. Dayton also had $8,000,000 of 6% convertible bonds outstanding throughout the year. The bonds are convertible into 80,000 shares of common stock. Net income for the year was $700,000. The tax rate is 25% Calculate both the basic and dilutive EPS
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Dayton, Inc. had 100,000 shares of common stock outstanding at January 1, 2022. On March 31, 2022, an additional 24,000 shares were sold for cash. Dayton also had $8,000,000 of 6% convertible bonds outstanding throughout the year. The bonds are convertible into 80,000 shares of common stock. Net income for the year was $700,000. The tax rate is 25%
Calculate both the basic and dilutive EPS
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