Stanley Department Stores reported net income of $720,000 for the year ended December 31, 2024. Additional Information: Common shares outstanding at January 1, 2024 Incentive stock options (vested in 2023) outstanding throughout 2024 (Each option is exercisable for one common share at an exercise price of $37.50.) During the year, the market price of Stanley's common stock averaged $45 per share. On August 30, Stanley sold 15,000 common shares. Stanley's only debt consisted of $50,000 of 10% short-term bank notes. The company's income tax rate is 25%. Required: Compute Stanley's basic and diluted earnings per share for the year ended December 31, 2024. Note: Do not round intermediate calculations. Enter your answers in thousands (i.e., 10,000 should be entered as 10 Basic Diluted Numerator 4 Denominator 80,000 24,000 Earnings per Share
Stanley Department Stores reported net income of $720,000 for the year ended December 31, 2024. Additional Information: Common shares outstanding at January 1, 2024 Incentive stock options (vested in 2023) outstanding throughout 2024 (Each option is exercisable for one common share at an exercise price of $37.50.) During the year, the market price of Stanley's common stock averaged $45 per share. On August 30, Stanley sold 15,000 common shares. Stanley's only debt consisted of $50,000 of 10% short-term bank notes. The company's income tax rate is 25%. Required: Compute Stanley's basic and diluted earnings per share for the year ended December 31, 2024. Note: Do not round intermediate calculations. Enter your answers in thousands (i.e., 10,000 should be entered as 10 Basic Diluted Numerator 4 Denominator 80,000 24,000 Earnings per Share
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Subject: acounting
Transcribed Image Text:Stanley Department Stores reported net income of $720,000 for the year ended December 31, 2024.
Additional Information:
Common shares outstanding at January 1, 2024
Incentive stock options (vested in 2023) outstanding throughout 2024
(Each option is exercisable for one common share at an exercise price of $37.50.)
During the year, the market price of Stanley's common stock averaged $45 per share.
On August 30, Stanley sold 15,000 common shares.
Stanley's only debt consisted of $50,000 of 10% short-term bank notes.
The company's income tax rate is 25%.
Required:
Compute Stanley's basic and diluted earnings per share for the year ended December 31, 2024.
Note: Do not round intermediate calculations. Enter your answers in thousands (i.e., 10,000 should be entered as 10
Basic
Diluted
Numerator + Denominator
80,000
24,000
Earnings per Share
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