The shareholders’ equity section of Blue Spruce Corporation as at December 31, 2020, follows: 10% cumulative preferred shares, 100,000 shares authorized, 81,000 shares outstanding $4,300,000 Common shares, 10 million shares authorized and issued 10,000,000 Contributed surplus 10,700,000 25,000,000 Retained earnings 174,000,000 $199,000,000 Net income of $20 million for 2020 reflects a total effective tax rate of 21%. Included in the net income figure is a loss of $14 million (before tax) relating to the operations of a business segment that is to be discontinued. Calculate earnings per share information as it should appear in the financial statements of Blue Spruce Corporation for the year ended December 31, 2020. (Round answers to 2 decimal places, e.g. 52.75.) Earnings per share Continuing Operations $_____________ Discontinued Operations $________________ Net Income / (Loss) $___________________
The shareholders’ equity section of Blue Spruce Corporation as at December 31, 2020, follows: 10% cumulative preferred shares, 100,000 shares authorized, 81,000 shares outstanding $4,300,000 Common shares, 10 million shares authorized and issued 10,000,000 Contributed surplus 10,700,000 25,000,000 Retained earnings 174,000,000 $199,000,000 Net income of $20 million for 2020 reflects a total effective tax rate of 21%. Included in the net income figure is a loss of $14 million (before tax) relating to the operations of a business segment that is to be discontinued. Calculate earnings per share information as it should appear in the financial statements of Blue Spruce Corporation for the year ended December 31, 2020. (Round answers to 2 decimal places, e.g. 52.75.) Earnings per share Continuing Operations $_____________ Discontinued Operations $________________ Net Income / (Loss) $___________________
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
100%
The shareholders’ equity section of Blue Spruce Corporation as at December 31, 2020, follows:
| 10% cumulative |
$4,300,000 | |
| Common shares, 10 million shares authorized and issued | 10,000,000 | |
| Contributed surplus | 10,700,000 | |
| 25,000,000 | ||
| 174,000,000 | ||
| $199,000,000 |
Net income of $20 million for 2020 reflects a total effective tax rate of 21%. Included in the net income figure is a loss of $14 million (before tax) relating to the operations of a business segment that is to be discontinued.
Calculate earnings per share information as it should appear in the financial statements of Blue Spruce Corporation for the year ended December 31, 2020. (Round answers to 2 decimal places, e.g. 52.75.)
| Earnings per share | ||
|---|---|---|
|
Continuing Operations
|
$_____________ | |
|
Discontinued Operations
|
$________________ | |
|
Net Income / (Loss)
|
$___________________ |
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education