Flounder Company's net income for 2020 is $672,000, and 91.000 shares of common stock were issued and outstanding during 2020, The only potentially dilutive securities outstanding were 26,000 executive stock options issued during 2019. each exercisable for one share at $22.50, none of these have been exercised, The average market price of Flounder's stock during 2020 was $28.00. (a) Compute diluted earnings per share. (Round answer to 2 decimal places, eg. 2.55) Diluted earnings per share S (b) Assume the same facts as those assumed for part (a), except that 10.000 additional options were issued on October 1, 2020, with an exercise price of $29.00 (the market price of the common stock on that date). The average market price during the last 3 months of 2020 was $31.50. (Round answer to 2 decimol places, e 2.55) Diluted earnings per share
Flounder Company's net income for 2020 is $672,000, and 91.000 shares of common stock were issued and outstanding during 2020, The only potentially dilutive securities outstanding were 26,000 executive stock options issued during 2019. each exercisable for one share at $22.50, none of these have been exercised, The average market price of Flounder's stock during 2020 was $28.00. (a) Compute diluted earnings per share. (Round answer to 2 decimal places, eg. 2.55) Diluted earnings per share S (b) Assume the same facts as those assumed for part (a), except that 10.000 additional options were issued on October 1, 2020, with an exercise price of $29.00 (the market price of the common stock on that date). The average market price during the last 3 months of 2020 was $31.50. (Round answer to 2 decimol places, e 2.55) Diluted earnings per share
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Flounder Company's net income for 2020 is $672,000, and 91,000 shares of common stock were issued and outstanding during 2020.
The only potentially dilutive securities outstanding were 26,000 executive stock options issued during 2019. each exercisable for one
share at $22.50, none of these have been exercised. The average market price of Flounder's stock during 2020 was $28.00.
(a) Compute diluted earnings per share. (Round answer to 2 decimal places, eg. 2.55.)
Diluted earnings per share
(b) Assume the same facts as those assumed for part (a), except that 10.000 additional options were issued on October 1, 2020, with
an exercise price of $29.00 (the market price of the common stock on that date). The average market price during the last 3 months of
2020 was $31.50, (Round answer to 2 decimol places, es. 2.55.)
Diluted earnings per share
%24
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