On January 1, 2020, Metlock Industries had stock outstanding as follows. 6% Cumulative preferred stock, $ 100 par value, issued and outstanding 10,800 shares $ 1,080,000 Common stock, $ 10 par value, issued and outstanding 194,000 shares 1,940,000 To acquire the net assets of three smaller companies, Metlock authorized the issuance of an additional 160,800 common shares. The acquisitions took place as shown below. Date of Acquisition Shares Issued Company A April 1, 2020 51,600 Company B July 1, 2020 78,000 Company C October 1, 2020 31,200 On May 14, 2020, Metlock realized a $ 91,200 (before taxes) insurance gain on discontinued operations. On December 31, 2020, Metlock recorded income of $ 330,000 from continuing operations (after tax). Assuming a 20% tax rate, compute the earnings per share data that should appear on the financial statements of Metlock Industries as of December 31, 2020. (Round answer to 2 decimal places, e.g. $2.55.) Metlock Industries Income Statement $ $
On January 1, 2020, Metlock Industries had stock outstanding as follows. 6% Cumulative preferred stock, $ 100 par value, issued and outstanding 10,800 shares $ 1,080,000 Common stock, $ 10 par value, issued and outstanding 194,000 shares 1,940,000 To acquire the net assets of three smaller companies, Metlock authorized the issuance of an additional 160,800 common shares. The acquisitions took place as shown below. Date of Acquisition Shares Issued Company A April 1, 2020 51,600 Company B July 1, 2020 78,000 Company C October 1, 2020 31,200 On May 14, 2020, Metlock realized a $ 91,200 (before taxes) insurance gain on discontinued operations. On December 31, 2020, Metlock recorded income of $ 330,000 from continuing operations (after tax). Assuming a 20% tax rate, compute the earnings per share data that should appear on the financial statements of Metlock Industries as of December 31, 2020. (Round answer to 2 decimal places, e.g. $2.55.) Metlock Industries Income Statement $ $
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
On January 1, 2020, Metlock Industries had stock outstanding as follows.
| 6% Cumulative |
$ 1,080,000 | |
| Common stock, $ 10 par value, issued and outstanding 194,000 shares | 1,940,000 |
To acquire the net assets of three smaller companies, Metlock authorized the issuance of an additional 160,800 common shares. The acquisitions took place as shown below.
|
Date of Acquisition
|
Shares Issued
|
|
| Company A April 1, 2020 | 51,600 | |
| Company B July 1, 2020 | 78,000 | |
| Company C October 1, 2020 | 31,200 |
On May 14, 2020, Metlock realized a $ 91,200 (before taxes) insurance gain on discontinued operations. On December 31, 2020, Metlock recorded income of $ 330,000 from continuing operations (after tax).
Assuming a 20% tax rate, compute the earnings per share data that should appear on the financial statements of Metlock Industries as of December 31, 2020. (Round answer to 2 decimal places, e.g. $2.55.)
|
Metlock Industries
Income Statement |
|
|
|
|
|
|
$
|
|
|
|
|
|
|
|
|
|
|
|
$
|
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