On January 1, ABC Company has 100,000 outstanding ordinary shares. During the year, ABC reported net income of P 5,000,000. Income tax rate is 30%. In addition, ABC issued on May 1 a 4,000 P 1,000 12% convertible bonds at face amount. Each bond is convertible into 3 ordinary shares. On October 1, 2,000 bonds are converted. How much is the basic earnings per share?
On January 1, ABC Company has 100,000 outstanding ordinary shares. During the year, ABC reported net income of P 5,000,000. Income tax rate is 30%. In addition, ABC issued on May 1 a 4,000 P 1,000 12% convertible bonds at face amount. Each bond is convertible into 3 ordinary shares. On October 1, 2,000 bonds are converted. How much is the basic earnings per share?
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 20EA: Longmont Corporation earned net income of $90,000 this year. The company began the year with 600...
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On January 1, ABC Company has 100,000 outstanding ordinary shares. During the year, ABC reported net income of P 5,000,000. Income tax rate is 30%.
In addition, ABC issued on May 1 a 4,000 P 1,000 12% convertible bonds at face amount. Each bond is convertible into 3 ordinary shares. On October 1, 2,000 bonds are converted.
How much is the basic earnings per share?
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