Exercise 19-24 (Algo) New shares; contingently issuable shares [LO19-6,19-12) During 2024, its first year of operations, Kevin Berry Industries entered into the following transactions relating to shareholders' equity. The corporation was authorized to issue 100 million common shares, $1 par per share. January 2 Issued 55 million common shares for cash. January 2 Entered an agreement with the company president to issue up to 2 million additional shares of common stock in 2025 based on the earnings of Berry in 2025. If net income exceeds $140 million, the president will receive 1 million shares; 2 million shares if net income exceeds $150 million. March 31 Issued 4 million shares in exchange for plant facilities. Net income for 2024 was $148 million. Required: Compute basic and diluted earnings per share for the year ended December 31, 2024. Note: Do not round intermediate calculations. Enter your answers in millions (.e., 10,000,000 should be entered as 10). Basic Diluted Numerator . Denominator . Earnings per Share W
Exercise 19-24 (Algo) New shares; contingently issuable shares [LO19-6,19-12) During 2024, its first year of operations, Kevin Berry Industries entered into the following transactions relating to shareholders' equity. The corporation was authorized to issue 100 million common shares, $1 par per share. January 2 Issued 55 million common shares for cash. January 2 Entered an agreement with the company president to issue up to 2 million additional shares of common stock in 2025 based on the earnings of Berry in 2025. If net income exceeds $140 million, the president will receive 1 million shares; 2 million shares if net income exceeds $150 million. March 31 Issued 4 million shares in exchange for plant facilities. Net income for 2024 was $148 million. Required: Compute basic and diluted earnings per share for the year ended December 31, 2024. Note: Do not round intermediate calculations. Enter your answers in millions (.e., 10,000,000 should be entered as 10). Basic Diluted Numerator . Denominator . Earnings per Share W
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![Exercise 19-24 (Algo) New shares; contingently issuable shares [LO19-6,19-12]
During 2024, its first year of operations, Kevin Berry Industries entered into the following transactions relating to shareholders' equity.
The corporation was authorized to issue 100 million common shares, $1 par per share.
January 2 Issued 55 million common shares for cash.
January 2 Entered an agreement with the company president to issue up to 2 million additional shares of common stock in
2025 based on the earnings of Berry in 2025. If net income exceeds $140 million, the president will receive 1
million shares; 2 million shares if net income exceeds $150 million.
March 31 Issued 4 million shares in exchange for plant facilities.
Net income for 2024 was $148 million.
Required:
Compute basic and diluted earnings per share for the year ended December 31, 2024.
Note: Do not round intermediate calculations. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).
Basic
Diluted
Numerator
+
+
♦
Denominator
.
.
Earnings per Share](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8c9bd05f-6074-441f-9db3-22fefc0ae245%2F97dc17e7-be8f-455a-9228-06cc58e34c51%2Fdn21vtl_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Exercise 19-24 (Algo) New shares; contingently issuable shares [LO19-6,19-12]
During 2024, its first year of operations, Kevin Berry Industries entered into the following transactions relating to shareholders' equity.
The corporation was authorized to issue 100 million common shares, $1 par per share.
January 2 Issued 55 million common shares for cash.
January 2 Entered an agreement with the company president to issue up to 2 million additional shares of common stock in
2025 based on the earnings of Berry in 2025. If net income exceeds $140 million, the president will receive 1
million shares; 2 million shares if net income exceeds $150 million.
March 31 Issued 4 million shares in exchange for plant facilities.
Net income for 2024 was $148 million.
Required:
Compute basic and diluted earnings per share for the year ended December 31, 2024.
Note: Do not round intermediate calculations. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).
Basic
Diluted
Numerator
+
+
♦
Denominator
.
.
Earnings per Share
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education