Required - In accordance with IAS 33 Earnings per share a. Compute basic earnings per share for 2019, b. Compute diluted earnings per share for 2019 , c. State the Presentation and Disclosure requirements The information below pertains to Rainfall plc for 2019. Net Income for the year 8% convertible bonds issued at par ($1,000 per bond); $2,000,000 each bond is convertible into 30 shares of ordinary shares; the liability component of the bonds is $1,800,000 based on a market rate of 9% 6% convertible, cumulative preference shares, $100 par value; each share is convertible into 3 shares of ordinary shares. Ordinary shares, $10 par value $1,200,000 $4,000,000 $6,000,000 Tax rate for 2019 40% Average market price of ordinary shares $25 per share
Required - In accordance with IAS 33 Earnings per share a. Compute basic earnings per share for 2019, b. Compute diluted earnings per share for 2019 , c. State the Presentation and Disclosure requirements The information below pertains to Rainfall plc for 2019. Net Income for the year 8% convertible bonds issued at par ($1,000 per bond); $2,000,000 each bond is convertible into 30 shares of ordinary shares; the liability component of the bonds is $1,800,000 based on a market rate of 9% 6% convertible, cumulative preference shares, $100 par value; each share is convertible into 3 shares of ordinary shares. Ordinary shares, $10 par value $1,200,000 $4,000,000 $6,000,000 Tax rate for 2019 40% Average market price of ordinary shares $25 per share
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 21P: Waseca Company had 5 convertible securities outstanding during all of 2019. It paid the appropriate...
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![Required - In accordance with IAS 33 Earnings per share
a. Compute basic earnings per share for 2019,
b. Compute diluted earnings per share for 2019 ,
c. State the Presentation and Disclosure requirements
The information below pertains to Rainfall plc for 2019.
Net Income for the year
8% convertible bonds issued at par ($1,000 per bond); $2,000,000
each bond is convertible into 30 shares of ordinary
shares; the liability component of the bonds is
$1,800,000 based on a market rate of 9%
6% convertible, cumulative preference shares, $100
par value; each share is convertible into 3 shares of
ordinary shares.
Ordinary shares, $10 par value
$1,200,000
$4,000,000
$6,000,000
Tax rate for 2019
40%
Average market price of ordinary shares
$25 per share](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F958ab12b-6b2d-447e-9896-90e46302d601%2F6d853f92-3baa-4439-a969-8a2bf310cd22%2Ftmjqkmv_processed.png&w=3840&q=75)
Transcribed Image Text:Required - In accordance with IAS 33 Earnings per share
a. Compute basic earnings per share for 2019,
b. Compute diluted earnings per share for 2019 ,
c. State the Presentation and Disclosure requirements
The information below pertains to Rainfall plc for 2019.
Net Income for the year
8% convertible bonds issued at par ($1,000 per bond); $2,000,000
each bond is convertible into 30 shares of ordinary
shares; the liability component of the bonds is
$1,800,000 based on a market rate of 9%
6% convertible, cumulative preference shares, $100
par value; each share is convertible into 3 shares of
ordinary shares.
Ordinary shares, $10 par value
$1,200,000
$4,000,000
$6,000,000
Tax rate for 2019
40%
Average market price of ordinary shares
$25 per share
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