The capital structure of Morgan Products Inc. at December 31, 2013, included 20,000 $1.25 preferred shares and
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The capital structure of Morgan Products Inc. at December 31, 2013, included 20,000 $1.25 preferred shares and 44,000 common shares. During 2014, Morgan issued common shares and ended the year with 58,000 shares. The average number of common shares outstanding for the year was 51,000. Income from continuing operations during 2014 was $81,100. The company discontinued a segment of the business at a gain of $6,630, and unrealized losses on derivatives generated a loss of $16,000. All amounts are after income tax.
Requirement
Compute Morgan's earnings per share.
Capital StructureCapital structure refers to a company’s outstanding debt and equity. The capital structure is the particular combination of debt and equity used by a finance its overall operations and growth. Capital structure maximizes the market value of a...
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Related Book For
Financial Accounting
ISBN: 978-0133472264
5th Canadian edition
Authors: Charles Horngren, William Thomas, Walter Harrison, Greg Berberich, Catherine Seguin
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