Question: Please answer both questions. If answers are clear and correct I will leave positive feedback! Thank you! The income statement for Travers & Co. is

Please answer both questions. If answers are clear and correct I willPlease answer both questions. If answers are clear and correct I will leave positive feedback! Thank you!

The income statement for Travers & Co. is shown below. The firm currently has 25.0 million shares of common stock outstanding. However, an analyst has looked at the firm's outstanding warrants and options to determine the likelihood of them being exercised. The analyst has determined that the firm's adjusted number of common shares after the expected dilution is 28.5 million. INCOME STATEMENT (Milions of dollars) 1,400 1,200 50 $ 150 Total revenues -Operating costs excluding depreciation - Depreciation and amortization expense Operating income (EBIT) - Interest expense Taxable income - Taxes Net income - Preferred dividends Net income available to common shareholders $125 48 Common dividends Addition to retained earnings $61 $16 Answer the following questions about Travers & Co.'s income statement What is the firm's DPS for 2005? O $1.79 O $2.44 O $2.25 O $3.13 O $2.83 What is the basic EPS? O $3.83 O $4.68 O $3.08 O $3.65 O $3.20 What is the diluted EPS? O $2.83 O $4.09 O $4.25 O $2.91 O $2.70 What is the firm's operating margin? 10.71% 0 13.79% ? 7.72% 16.67% 11.74% What is the firm's net profit margin? ? 8.51% ? 10.71% ? 15.53% 13.79% 5.50% o

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