Bailey Motor Company has preferred stock outstanding and issued additional common stock during the year 1 Give the basic equation to compute earnings per share of common stock for net income 2 List the income items for which Bailey must report earnings per share data 3 What makes earnings per share...

Req 1 Earnings Net income preferred dividends per share Weightedavera ...

Bailey Motor Company has preferred stock outstanding and issued additional common stock during the year. 1. Give

Question:

Bailey Motor Company has preferred stock outstanding and issued additional during the year.
1. Give the basic equation to compute earnings per share of for net income.
2. List the income items for which Bailey must report earnings-per-share data.
3. What makes earnings per share so useful as a business statistic?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...