I edited the question and I downloaded a clear picture of my question At the end of
Fantastic news! We've Found the answer you've been seeking!
Question:
I edited the question and I downloaded a clear picture of my question
Transcribed Image Text:
At the end of 2016, the records of NorthCo showed the following: Bonds payable, Series A, 5%, each $1,000 bond is convertible to 30 common shares after share dividend (par value, $230,000), net of discount Bonds payable, Series B, 7% each $1,000 bond is convertible to 30 common shares after share dividend (par value, $990,000), net of discount Preferred shares, no par $6.40, non-cumulative, non-convertible; issued and outstanding throughout the year, 38,000 shares Common shares, no par, authorized unlimited number of shares: Outstanding, January 1, 432,000 shares Shares retired, July 1, 3,000 shares at a cost of $14,000; book value Shares dividend issued August 1, ?? shares (30%; 3 additional shares for each 10 shares outstanding). Retained earnings (no cash dividends declared during the year). Income before discontinued operations Discontinued operations (net of tax)__ Net income $1,600,000 (8,350) 399,000 $199,000 986,100 1,110,000 1,990,650 995,000 477,000 48,000 $525,000 Net income includes interest expense of $11,541 on Series A bonds payable, and interest expense of $22,466 on Series B bonds. Average income tax rate for 2016 was 20%. Both bond series were issued p to January 1, 2016. Please make sure your final answer(s) are accurate to 2 decimal places. 1) Calculate basic earnings per share (EPS) and diluted EPS. Enter the individual effects on income and # of shares for both bonds in the Series A and Series B line items but only include dilutive bonds, if 1 the diluted EPS total line. At the end of 2016, the records of NorthCo showed the following: Bonds payable, Series A, 5%, each $1,000 bond is convertible to 30 common shares after share dividend (par value, $230,000), net of discount Bonds payable, Series B, 7% each $1,000 bond is convertible to 30 common shares after share dividend (par value, $990,000), net of discount Preferred shares, no par $6.40, non-cumulative, non-convertible; issued and outstanding throughout the year, 38,000 shares Common shares, no par, authorized unlimited number of shares: Outstanding, January 1, 432,000 shares Shares retired, July 1, 3,000 shares at a cost of $14,000; book value Shares dividend issued August 1, ?? shares (30%; 3 additional shares for each 10 shares outstanding). Retained earnings (no cash dividends declared during the year). Income before discontinued operations Discontinued operations (net of tax)__ Net income $1,600,000 (8,350) 399,000 $199,000 986,100 1,110,000 1,990,650 995,000 477,000 48,000 $525,000 Net income includes interest expense of $11,541 on Series A bonds payable, and interest expense of $22,466 on Series B bonds. Average income tax rate for 2016 was 20%. Both bond series were issued p to January 1, 2016. Please make sure your final answer(s) are accurate to 2 decimal places. 1) Calculate basic earnings per share (EPS) and diluted EPS. Enter the individual effects on income and # of shares for both bonds in the Series A and Series B line items but only include dilutive bonds, if 1 the diluted EPS total line.
Expert Answer:
Related Book For
Fundamental Financial Accounting Concepts
ISBN: 978-0078025907
9th edition
Authors: Thomas Edmonds, Christopher Edmonds
Posted Date:
Students also viewed these accounting questions
-
At the end of 2016 the following information is available for the Alaska Company and the Colorado Company: Required a. For each company, compute the debt to assets ratio and the return on equity...
-
At the end of 2016 the following information is available for Delaware Company and Florida Company: Required a. For each company, compute the debt to assets ratio and the return on equity ratio. b....
-
The inventory on hand at the end of 2016 for Reddall Company is valued at a cost of $94,550. The following items were not included in this inventory: 1. Purchased goods in transit, under terms FOB...
-
What was the action you are most proud of, or that is the most meaningful to you? What was the civic issue that was involved in your action? When and how did you first hear about that issue? Why did...
-
Write the structures of the three products involved in this reaction sequence: Spectral data for B: MS (m/z): 314, 312, 310 (relative abundance 1:2:1) 1H NMR (δ): only 6.80 (s) after...
-
Ramos Co. provides the following sales forecast and production budget for the next four months: The company plans for finished goods inventory of 120 units at the end of June. In addition, each...
-
Explain synchronous and asynchronous communication in relation to elearning.
-
On September 1, Cool Salad Dressings creates a petty cash fund with an imprest balance of $250. During September, Michael Martell, the fund custodian, signs the following petty cash tickets: On...
-
an auto body shop has 5 jobs to process through its facilities over the next few weeks. the processing time and due dates for the 5 jobs are shown in the following table. job processing time (days)...
-
5 10 points Match the virtual lab procedure with the correct lung volume. 6 7 Ask the subject to inspire a normal inspiration, and breathe out a normal expiration, then exhale as forcibly as possible...
-
3. Representing constraints (40 points) Constraints represent restrictions, which can be modeled mathematically as boundaries. One of the simplest and yet powerful ways to represent constraints is...
-
Maple syrup ( = 1300 kg/m 3 , = 0.1 Pas) flows through a pipe of cross-sectional area A = 0.1 m2 . Near the end of the pipe, an angled attachment is glued to the pipe to redirect the flow through an...
-
Assume a price of $ 1 and a contribution margin percentage of 1 5 0 % on cost . Next, calculate ( a ) the variable costs and ( b ) the contribution margin percentage on price.
-
Long - term debt Deferred income tax liabilities Retiree health care benefits Pension liabilities Operating lease liabilities Other long - term liabilities what type of activity is each ?
-
You work in the accounting department at Accountants-R-Us, Inc. and just received the December bank statement. Use the following information to create the bank reconciliation for the month-ended...
-
Daniel and Ashlee are long-term clients of yours, and are getting a divorce. Because of the divorce, their interests will no longer be the same and they are not amicable. Ashlee has said that's he...
-
MB Saved He H4 ok nt Rick Hall owns a card shop, Hall's Cards. The following cash information is available for the month of August, Year 3. As of August 31, the bank statement shows a balance of...
-
The following table shows the rates of total return in successive years from 2004 to 2008 for the Sprott Canadian Equity Fund and for the benchmark Toronto Stock Exchange S&P/TSX Composite Index. By...
-
Required Use the following information to prepare a multistep income statement and a classified balance sheet for Eller Equipment Co. for 2016. Salaries expense ............ $ 72,000 Common stock...
-
Bensen Company started business by acquiring $60,000 cash from the issue of common stock on January 1, 2016. The cash acquired was immediately used to purchase equipment for $50,000 that had a...
-
Jones Enterprises was started when it acquired $6,000 cash from creditors and $10,000 from owners. The company immediately purchased land that cost $12,000. Required a. Record the events under an...
-
The von Neumann entropy satisfies a further inequality among three systems called strong subadditivity. \({ }^{20}\) As with subadditivity, strong subadditivity is only a property of the von Neumann...
-
We had stated in this chapter that the general Rnyi entropies do not satisfy subadditivity; only the von Neumann entropy does. In Example 12.2 , we constructed an explicit counterexample for the Rnyi...
-
In our analysis of hydrogen in Chap. 9, we discussed the period of recombination, the time in the history of the universe at which protons and electrons became bound and formed neutral hydrogen. We...
Study smarter with the SolutionInn App