Denjar Information concerning the number of options granted and common share prices follows:Date GrantedDecember 31, 2022December 31, 2023December 31, 2024•Options Granted(adjusted forthe stockdividend)8,0003,0006,500Share Price$ 24$ 33$ 32The market price of the common stock averaged $32 per share during 2024.• On July 12, 2022, Dow issued $800,000 of convertible 8% bonds at face value.•Each $1,000 bond is convertible into 30 common shares (adjusted for the stock dividend).Required:Compute Dow's basic and diluted earnings per share for the year ended December 31, 2024.Note: Do not round intermediate calculations. Except for per share amounts, enter youranswers 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.NumeratorDow's basic$2,025÷Dow's dilutedSA$2,025 x ÷DenominatorIIEarnings pershare675=$3.00677 X =$2.99 X

We must determine the earnings attributable to common shareholders (numerator) and the weighted…

Answered: Information concerning the number of…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter20: Financing With Derivatives

Section: Chapter Questions

Problem 4P

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You have been provided with the following information for the year ended 30 June 2022 for ABCLtd:RNet profit for the year -R1 800 000Weighted average number of shares (WANOS) outstanding during the year-R 120 000Average fair value per share -R30.00Weighted average number of shares (WANOS) under option during the year -R25 000Exercise price for shares under option during the year -R28.00REQUIRED:Q.2.1 Explain the purpose and objective of disclosing diluted earnings per share.
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1. Determine the total retained earnings as of December 31, 2020. choices: 780,000 858,000 580,500 730,500 2. Determine the total share premium as of December 31, 2020. 8,396,950 8,419,450 8,402,800 8,219,650
Raun Company had the following equity items as of December 31, 2019: Preferred stock, 9% cumulative, 100 par, convertible Paid-in capital in excess of par value on preferred stock Common stock, 1 stated value Paid-in capital in excess of stated value on common stock| Retained earnings The following additional information about Raun was available for the year ended December 31, 2019: 1. There were 2 million shares of preferred stock authorized, of which 1 million were outstanding. All 1 million shares outstanding were issued on January 2, 2016, for 120 a share. The preferred stock is convertible into common stock on a 1-for-1 basis until December 31, 2025; thereafter, the preferred stock ceases to be convertible and is callable at par value by the company. No preferred stock has been converted into common stock, and there were no dividends in arrears at December 31, 2019. 2. The common stock has been issued at amounts above stated value per share since incorporation in 2002. Of the 5 million shares authorized, 3,580,000 were outstanding at January 1, 2019. The market price of the outstanding common stock has increased slowly but consistently for the last 5 years. 3. Raun has an employee share option plan where certain key employees and officers may purchase shares of common stock at 100% of the marker price at the date of the option grant. All options are exercisable in installments of one-third each year, commencing 1 year after the date of the grant, and expire if not exercised within 4 years of the grant date. On January 1, 2019, options for 70,000 shares were outstanding at prices ranging from 47 to 83 a share. Options for 20,000 shares were exercised at 47 to 79 a share during 2019. During 2019, no options expired and additional options for 15,000 shares were granted at 86 a share. The 65,000 options outstanding at December 31, 2019, were exercisable at 54 to 86 a share; of these, 30,000 were exercisable at that date at prices ranging from 54 to 79 a share. 4. Raun also has an employee share purchase plan whereby the company pays one-half and the employee pays one-half of the market price of the stock at the date of the subscription. During 2019, employees subscribed to 60,000 shares at an average price of 87 a share. All 60,000 shares were paid for and issued late in September 2019. 5. On December 31, 2019, there was a total of 355,000 shares of common stock set aside for the granting of future share options and for future purchases under the employee share purchase plan. The only changes in the shareholders equity for 2019 were those described previously, the 2019 net income, and the cash dividends paid. Required: Prepare the shareholders equity section of Rauns balance sheet at December 31, 2019. Substitute, where appropriate, Xs for unknown dollar amounts. Use good form and provide full disclosure. Write appropriate notes as they should appear in the publisher financial statements.
Calculating the Number of Shares Issued Castalia Inc. issued shares of its $0.80 par value common stock on September 4, 2019, for $8 per share. The Additional Paid-In Capital-Common Stock account was credited for 5612,000 in the journal entry to record this transaction. Required: How many shares were issued on September 4, 2019?
Instructions: Compute the basic EPS and diluted EPS for Paden Corporation for 2024. Round to two decimal places. Show all computations. Please dont gie solutions in image format
36. Subject : - Accounting
XYZ stock price and dividend history are as follows: Dividend Paid at Year-End $5 Year 2018 2019 2020 2021 Beginning-of- Year Price $ 130 144 120 125 An investor buys six shares of XYZ at the beginning of 2018, buys another three shares at the beginning of 2019, sells one share at the beginning of 2020, and sells all eight remaining shares at the beginning of 2021. Required: a. What are the arithmetic and geometric average time-weighted rates of return for the investor? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Arithmetic time-weighted average returns Geometric time-weighted average returns 5 5 5 Date b-1. Prepare a chart of cash flows for the four dates corresponding to the turns of the year for January 1, 2018, to January 1, 2021. (Negative amounts should be indicated by a minus sign.) Cash Flow % %
The equity portions of a company's balance sheets for end of 2022 and 2023 are shown below: Common Stock ($0.50 par) Capital Surplus Retained Earnings O $1.42 Calculate the average price per share at which new shares were sold in 2023. $1.92 $0.75 None of these options are correct 2022 $2,268,566 $1,067,967 $2,005,277 $0.50 2023 $3,729,028 $5,223,225 $6,911,362
XYZ stock price and dividend history are as follows: Year Beginning-of-Year Price $ 114 Dividend Paid at Year-End $ 5 7707 120 2824 100 105 An Investor buys four shares of XYZ at the beginning of 2021, buys another two shares at the beginning of 2022, sells one share at the beginning of 2023, and sells all five remaining shares at the beginning of 2024. Required: a. What are the arithmetic and geometric average time-weighted rates of return for the Investor? Note: Do not round intermediate calculations. Round your answers to 2 decimal places. Arithmetic time-weighted average returns Geometric time-weighted average returns 96 b-1. Prepare a chart of cash flows for the four dates corresponding to the turns of the year for January 1, 2021. to January 1, 2024. Note: Negative amounts should be indicated by a minus sign. Date Cash Flow 01/01/2021 01/01/2022 01/01/2023 01/01/2024 b-2. What is the dollar-weighted rate of return? (Hint If your calculator cannot calculate Internal rate of…
You have been provided with the following information for Company 123 for the year 2020:Net income $ 4,800,000Number of common shares outstanding 1,200,000 shares10%, cumulative preferred shares, convertible into 120,000 common shares $ 1,800,0008% convertible bonds; convertible into 100,000 common shares $ 9,500,000360,000 call options exercisable at $ 26 per shareAdditional information1. The common and preferred shares and the convertible bonds were outstanding from thebeginning of the year.2. In 2020, a $ 1, 500,000 dividend was declared and distributed; however, no dividends weredeclared in 2019.3. The average market price of the common shares in 2020 was $ 0. The stock price was $ 27on January 1, 2020, and $ 5 on December 31, 2020.4. The convertible bonds were sold at par.5. The income tax rate for 2020 is 40%.Required:a) Calculate basic earnings per shareb) Calculate diluted earnings per sharec) Why is earnings per share useful? What is the additional importance of…
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