Aggie Corp. began operations on 1/1/15 and issued all of its preferred and common shares at that time. The following information pertains to Aggie Corp. for the year ended December 31, 2016 (i.e., year 2 of operations):

Balance Sheet (partial)

Preferred stock, 5% cumulative, $10 par	$400,000
Additional paid-in capital - preferred	800,000
Common stock, $1 par	1,000,000
Additional paid-in capital - common	5,000,000
Treasury stock (50,000 shares)	400,000
Beginning Retained Earnings (1/1/16)	800,000

Additional Information

Net Income for 2016	$5,000,000
Dividends declared and paid on December 31, 2016	250,000

Aggie Corp. declared and paid dividends of $50,000 during 2015 (year 1) and of $250,000 during 2016 (year 2). What is the company's Earnings per Share (EPS) for 2016 (year 2)? (if necessary, round to the nearest penny)

Answer rating: 100% (QA)

2015 2016 Total dividends declared and paid Less P... View the full answer