Edinburgh Plc has a profit after taxation and after preference dividends of £570,000. Share capital is made up of 100,000 preference shares and 200,000 ordinary shares. Edinburgh Plc’s Earnings per Share is: a) None of the above b) 285 pence c) 190 pence d) 570 pence

Edinburgh Plc has a profit after taxation and after preference dividends of £570,000. Share capital is made up of 100,000 preference shares and 200,000 ordinary shares. Edinburgh Plc’s Earnings per Share is: a) None of the above b) 285 pence c) 190 pence d) 570 pence

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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Question

Edinburgh Plc has a profit after taxation and after preference dividends of £570,000. Share capital is made up of 100,000 preference shares and 200,000 ordinary shares.

Edinburgh Plc’s Earnings per Share is:

a) None of the above

b) 285 pence

c) 190 pence

d) 570 pence

Rules by which an authority (usually a government) imposes a financial obligation on individuals or organizations within its domain. Property or transactions can be taxed. While taxes are primarily intended to fund the operation of a government, many tax laws are created to encourage or discourage certain behaviors by citizens or companies.

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