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The ABC Company’s profit for the year ended December 31 was P 2,883,400. During the year, ABC declared and paid P 330,000 in cash dividends on non-cumulative non-convertible preference shares and P 552,000 in cash dividends on ordinary share. At December 31, 360,000 of ordinary shares were outstanding, 300,000 of which had been outstanding since the start of the year and the remainder of which were issued on May 1. There were no other ordinary share transactions during the year, and there is no potential dilution of earnings per share. What should be the year’s basic earnings per share of ABC? Group of answer choices 9.09 7.51 6.60 8.18

The ABC Company’s profit for the year ended December 31 was P 2,883,400. During the year, ABC declared and paid P 330,000 in cash dividends on non-cumulative non-convertible preference shares and P 552,000 in cash dividends on ordinary share. At December 31, 360,000 of ordinary shares were outstanding, 300,000 of which had been outstanding since the start of the year and the remainder of which were issued on May 1. There were no other ordinary share transactions during the year, and there is no potential dilution of earnings per share. What should be the year’s basic earnings per share of ABC? Group of answer choices 9.09 7.51 6.60 8.18

Intermediate Accounting: Reporting And Analysis
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
Chapter5: The Income Statement And The Statement Of Cash Flows
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The ABC Company’s profit for the year ended December 31 was P 2,883,400. During the year, ABC declared and paid P 330,000 in cash dividends on non-cumulative non-convertible preference shares and P 552,000 in cash dividends on ordinary share. At December 31, 360,000 of ordinary shares were outstanding, 300,000 of which had been outstanding since the start of the year and the remainder of which were issued on May 1. There were no other ordinary share transactions during the year, and there is no potential dilution of earnings per share. What should be the year’s basic earnings per share of ABC?

Group of answer choices

9.09

7.51

6.60

8.18

 

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