For the year ended December 31, 2024, Norstar Industries reported net income of $955,000. At January 1, 2024, the company had 1,030,000 common shares outstanding. The following changes in the number of shares occurred during 2024: April 30 Sold 75,000 shares in a public offering May 24 Declared and distributed a 5% stock dividend June 1 Issued 84,000 shares as part of the consideration for the purchase of assets from a subsidiary Required: Compute Norstar's earnings per share for the year ended December 31, 2024. Note: Do not round intermediate calculations. Except for per share amounts, enter your answers in thousands (i.e., 10,000 should be entered as 10). Round "Earnings per share" answer to 2 decimal places. Answer is complete but not entirely correct. $ Numerator 955 ÷ Denominator Earnings per Share 1,170 = $ 0.82
For the year ended December 31, 2024, Norstar Industries reported net income of $955,000. At January 1, 2024, the company had 1,030,000 common shares outstanding. The following changes in the number of shares occurred during 2024: April 30 Sold 75,000 shares in a public offering May 24 Declared and distributed a 5% stock dividend June 1 Issued 84,000 shares as part of the consideration for the purchase of assets from a subsidiary Required: Compute Norstar's earnings per share for the year ended December 31, 2024. Note: Do not round intermediate calculations. Except for per share amounts, enter your answers in thousands (i.e., 10,000 should be entered as 10). Round "Earnings per share" answer to 2 decimal places. Answer is complete but not entirely correct. $ Numerator 955 ÷ Denominator Earnings per Share 1,170 = $ 0.82
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter16: Retained Earnings And Earnings Per Share
Section: Chapter Questions
Problem 5MC: Kent Corporation was organized on January 1, 2014. On that date, it issued 200,000 shares of 10 par...
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Question
![For the year ended December 31, 2024, Norstar Industries reported net income of $955,000. At January 1, 2024, the company had
1,030,000 common shares outstanding. The following changes in the number of shares occurred during 2024:
April 30 Sold 75,000 shares in a public offering
May 24 Declared and distributed a 5% stock dividend
June 1 Issued 84,000 shares as part of the consideration for the purchase of assets from a subsidiary
Required:
Compute Norstar's earnings per share for the year ended December 31, 2024.
Note: Do not round intermediate calculations. Except for per share amounts, enter your answers in thousands (i.e., 10,000 should
be entered as 10). Round "Earnings per share" answer to 2 decimal places.
Answer is complete but not entirely correct.
$
Numerator
955
÷
Denominator
Earnings per
Share
1,170 =
$
0.82](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3f030781-49db-496a-a71a-efdd171da2dd%2F9de9bdb8-28b7-452e-9b37-ad2cad9a5a92%2Fei5xi80a_processed.png&w=3840&q=75)
Transcribed Image Text:For the year ended December 31, 2024, Norstar Industries reported net income of $955,000. At January 1, 2024, the company had
1,030,000 common shares outstanding. The following changes in the number of shares occurred during 2024:
April 30 Sold 75,000 shares in a public offering
May 24 Declared and distributed a 5% stock dividend
June 1 Issued 84,000 shares as part of the consideration for the purchase of assets from a subsidiary
Required:
Compute Norstar's earnings per share for the year ended December 31, 2024.
Note: Do not round intermediate calculations. Except for per share amounts, enter your answers in thousands (i.e., 10,000 should
be entered as 10). Round "Earnings per share" answer to 2 decimal places.
Answer is complete but not entirely correct.
$
Numerator
955
÷
Denominator
Earnings per
Share
1,170 =
$
0.82
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