On June 1, 2023, Novak Company and Splish Company merged to form Blossom inc. A total of 877,000 shares were issued to complete the merger. The new corporation reports of On April 1, 2025, the company issued an additional 652,000 shares of stock for cash. All 1,529,000 shares were outstanding on December 31, 2025 Blossom Inc. also issued $600.000 of 20-year, 8% convertible bonds at par on July 1, 2025. Each $1,000 bond converts to 44 shares of common at any interest date None of the bonds have been converted to date. Blossom Inc. is preparing its annual report for the focal year ending December 31, 2025. The annual report will show earnings per share figures based upon a reported after-tax pet income of $1.444.000 (The tax rate is 20%) Determine the following for 2025 a. The number of shares to be used for calculating: Round answers to O decimal places 2.500) 1. 2. Basic earrings per share shares shares The earnings figures to be used for calculating Round answers to 0 decimal places, ea 2.500) 1. Basic earnings per share 2 Diuted earnings per share endar-year basis
On June 1, 2023, Novak Company and Splish Company merged to form Blossom inc. A total of 877,000 shares were issued to complete the merger. The new corporation reports of On April 1, 2025, the company issued an additional 652,000 shares of stock for cash. All 1,529,000 shares were outstanding on December 31, 2025 Blossom Inc. also issued $600.000 of 20-year, 8% convertible bonds at par on July 1, 2025. Each $1,000 bond converts to 44 shares of common at any interest date None of the bonds have been converted to date. Blossom Inc. is preparing its annual report for the focal year ending December 31, 2025. The annual report will show earnings per share figures based upon a reported after-tax pet income of $1.444.000 (The tax rate is 20%) Determine the following for 2025 a. The number of shares to be used for calculating: Round answers to O decimal places 2.500) 1. 2. Basic earrings per share shares shares The earnings figures to be used for calculating Round answers to 0 decimal places, ea 2.500) 1. Basic earnings per share 2 Diuted earnings per share endar-year basis
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Ee 260.
Transcribed Image Text:On June 1, 2023. Novak Company and Splish Company merged to form Blossom Inc. A total of 877.000 shares were issued to complete the merger. The new corporation reports on a calendar-year basis
On April 1, 2025, the company issued an additional 652,000 shares of stock for cash, All 1.529,000 shares were outstanding on December 21, 2025
Ellossom inc. also asued $600.000 of 20 year, 8% convertible bonds at par on July 1, 2025. Each $1,000 bond converts to 44 shares of common at any interest date. None of the bonds have been converted to date.
Blossom Inc. is preparing its annual report for the fiscal year ending December 31, 2025. The annual report will show earnings per share figures based upon a reported after-tax net income of $1.444.000 (The tax rate is 2016)
Determine the following for 2025.
a. The number of shares to be used for calculating: Round answers to 0 decimal places, es 2.500)
1
2. Diluted earnings pershare
1.
The earnings figures to be used for calculating Round answers to 0 decimal places, eg 2.500
2
Basic earnings per share
Diuted earnings per share
shares
S
shares
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