Throughout the calendar year 2020, Kali Corporation has 400,000 common shares outstanding (nopreferred shares issued). In addition, Collie has 5,000, 20-year, 7% bonds outstanding, issued at par in2018. Each $1,000 bond is convertible into 20 common shares after June 30, 2021. Collie reported netincome of $ 600,000 for calendar 2020. Their income tax rate is 30%. Required: Calculate basic anddiluted earnings per share for 2020. Solution: Please explain the solution Basic earnings per share: = $1.50 Incremental effect of conversion of bonds = $2.45 The conversion of the bonds would beantidilutive. No diluted EPS calculation is required. The basic and diluted earnings per share of $1

Basic earnings per share = Net Income/ Common shares outstanding…

Answered: diluted earnings per share for 2020.…

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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help please answer in text form with proper working and explanation for each and every part and steps with concept and introduction no ai no copy paste remember answer must be in proper format with all working
Consider uhe following newly issued bonus. Inputs Tagliaferro Incorporated 10 Year Bond Settlement Date 1/1/2020 Rigsby and Pelt Corporation 5 Year Note 1/1/2020 Maturity Date 1/1/2030 1/1/2025 Coupon Rate 9.28% 4.27% Coupons per Year 2 2 Market Data Yield to Maturity 7.97% Risk-Free Rate 1.25% Required: Note: Use cells A2 to B12 from the given information to complete this question. Using any necessary data above, calculate the Macaulay Duration of each bond. Then, use the Macaulay Duration to solve for the Modified Duration. Tagliaferro Incorporated 10 Year Bond Rigsby and Pelt Corporation 5 Year Note Macaulay Duration Modified Duration
H3. Show proper step by step calculation
Let's value a REIT using Net Asset Value another way. (All values are in Millions) Assume a REIT has debt of 1,000M, there are 100M shares outstanding, both the stock price and NAV/share equal $5, and a fair cap rate for the portfolio is 10.0%, what is the implied NOI? $100M $105.5M $101 M $150M
A$1,000 face value convertible bond has a conversion ratio of 31 and is about to mature. Ignoring any transaction costs, what price must the stock surpass in order for you to convert? The required price per share will be $ (Round to the nearest cent.)
D3) Finance ABC is currently paying 7.5% fixed rate on S$10m. ABC can borrow at LIBOR. XYZ is paying LIBOR + 0.8% on S$10m. XYZ can borrow fixed at 9.5%. ABC and XYZ agree to swap interest payments to take advantage of the arbitrage created by their respective interest rate differentials. Which of the following is correct? A. ABC ends up paying LIBOR - 0.6%, XYZ ends up paying 8.9% B. ABC ends up paying 7.5%, XYZ ends up paying LIBOR + 0.8% C. ABC ends up paying LIBOR, XYZ ends up paying 9.5% D. None of the above
Want the Correct answer from bellow options
Using formulas, no tables correct answers: i) i17.3746% pa i2=8.981% pa i3=6.4562% pa ii) i(c3) 6.5764% pa In a market where spot rates apply, the two-year forward rate of interest at time t = 1 is 6% per annum effective. The issue price per £100 nominal of a two-year fixed interest bond that pays annual coupons of 4% in arrears and is redeemed at 105% is £95.5. At the same time, the issue price per £100 nominal of a three-year fixed interest bond that pays 6% in arrears and is redeemed at par is £98.5. (i) Calculate all possible annual spot-rates. (ii) Calculate the three-year par yield.
Please dont provide solution image based thanx
Calculate the end-of-year return for the following investment purchased for $14 at the beginning of 202X. Distributions and Prices Changes 202X Per-share income distributions: $0.20 Per-share capital gains distributions: $0.40 Year-end NAV: $15.25 Year-end market price: $15.00 If required, round your answer to two decimal places. a. 10.67% b. 11.43% c. 10.49% d. 13.21%
No tables, ONLY FORMULAS, please correct answers; (i) ?^(12) = 0.050104??,(ii) ?=0.020408?(1/4)?(iii) ?^(2) = 0.071116 ??
Consider a CDO with a total notional of $500 million, consisting of three tranches: Senior (75%), Mezzanine (15%), and Equity (10%). The underlying portfolio has a total expected loss of 6%. a. Calculate the expected losses for each tranche, assuming they follow the standard tranche subordination rules. b. If the actual realized losses are 30%, determine the losses allocated to each tranche. c. Plot a graph that shows how the payoff of the holders to the Mezzanine tranche owners varies with the value of the assets in the mortgage pool at the time of maturity. d. Represent this payoff as a combination of payoffs of options and risk-free debt for Mezzanine tranche. e. Suppose the CDO manager decides to create a fourth tranche, called the Super- Senior tranche, which has the highest priority in the cash flow waterfall. If the Super-Senior tranche is sized at 50% of the total notional, recalculate the expected losses for all tranches. (hint: Super- Senior tranche is created out of Senior…

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diluted earnings per share for 2020. Solution: Please explain the solution Basic earnings per share: = $ 1.50 Incremental effect of conversion of bonds = $2.45 The conversion of the bonds would be antidilutive. No diluted EPS calculation is required. The basic and diluted earnings per share of $1