Question

Part I. Information concerning the capital structure of Dole Corporation is reproduced below:


During Year 6, Dole pays dividends of $1 per share on its common stock and $2.40 per share on its preferred stock. The preferred stock is convertible into 20,000 shares of common stock. The
8% convertible bonds are convertible into 30,000 shares of common stock. Net income for the year ended December 31, Year 6, is $285,000. The income tax rate is 50%.

Required:
a. Compute basic earnings per share for the year ended December 31, Year 6.
b. Compute diluted earnings per share for the year ended December 31, Year6.


$1.99
Sales0
Views91
Comments0
  • CreatedJanuary 22, 2015
  • Files Included
Post your question
5000