Kansas Instruments reported $9,200,000 in net income for the current year. The company had $4,800,000 of 6% cumulative, non-convertible preferred stock outstanding all year, and issued, $6,000,000 of 6.5% convertible bonds issued on April 1. Each bond is convertible into 50 shares of common stock. Common shares outstanding all year were 1,900,000. Compute both basic and diluted EPS when the tax rate is 25%.
Kansas Instruments reported $9,200,000 in net income for the current year. The company had $4,800,000 of 6% cumulative, non-convertible preferred stock outstanding all year, and issued, $6,000,000 of 6.5% convertible bonds issued on April 1. Each bond is convertible into 50 shares of common stock. Common shares outstanding all year were 1,900,000. Compute both basic and diluted EPS when the tax rate is 25%.
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 12RE: Given the following year-end information, compute Greenwood Corporations basic and diluted earnings...
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Kansas Instruments reported $9,200,000 in net income for the current year. The company had $4,800,000 of 6% cumulative, non-convertible
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