During 2023, Anderson Corp. had 250,000 common shares outstanding for the full year. Market prices of the common shares during 2021 were:

January 1: $50

Year's average: $53

December 31: $55

During 2023, there were:

50,000 outstanding stock options to buy common shares at $38 a share.

$3,000,000 of 6% convertible bonds issued at par. Each $1,000 bond is convertible into 25 common shares.

25,000 preferred shares each paying a $3.20 dividend and each convertible to one common share.

The income tax rate is 30%. The corporation reported $1,000,000 net income for calendar 2023.

Required

Calculate basic and diluted earnings per share for 2023. Clearly indicate your answers for basic and fully dilute EPS. 

Answer rating: 100% (QA)

Anderson Corp Earnings Per Share EPS for 2023 Basic EPS 1 Calculate net income after taxes 1000000 n... View the full answer