On January 1, 2020, Stellar Industries had stock outstanding as follows. 6% Cumulative preferred stock, $100 par value, issued and outstanding 9,300 shares   $930,000 Common stock, $10 par value, issued and outstanding 220,000 shares   2,200,000 To acquire the net assets of three smaller companies, Stellar 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   48,000 Company B July 1, 2020   82,800 Company C October 1, 2020   30,000 On May 14, 2020, Stellar realized a $93,600 (before taxes) insurance gain on discontinued operations. On December 31, 2020, Stellar recorded income of $282,000 from continuing operations (after tax). Assuming a 20% tax rate, compute the earnings per share data that should appear on the financial statements of Stellar Industries as of December 31, 2020.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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On January 1, 2020, Stellar Industries had stock outstanding as follows.

6% Cumulative preferred stock, $100 par value, issued and outstanding 9,300 shares   $930,000
Common stock, $10 par value, issued and outstanding 220,000 shares   2,200,000


To acquire the net assets of three smaller companies, Stellar 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   48,000
Company B July 1, 2020   82,800
Company C October 1, 2020   30,000


On May 14, 2020, Stellar realized a $93,600 (before taxes) insurance gain on discontinued operations. On December 31, 2020, Stellar recorded income of $282,000 from continuing operations (after tax).

Assuming a 20% tax rate, compute the earnings per share data that should appear on the financial statements of Stellar Industries as of December 31, 2020. 

Stellar Industries
Income Statement
                                                           
                                                           
 
                                                           
 
 
                                                           
 
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