the records of Luholtz Corporation show the following. 

Common stock, no-par, authorized 500,000 shares; issued and outstanding during the year, 100,000 shares	$680,000
Stock dividend issued, December 31, 50,000 shares (not included in 100,000 shares above)	340,000
Retained earnings (after effect of dividends on all shares)	500,000
Bonds payable, 4.5%; each $1,000 bond is convertible to 80 shares of common stock after the stock dividend (bonds issued at par two years prior)	100,000
Bonds payable, 6.5%; each $1,000 bond is convertible to 90 shares of common stock after the stock dividend (bonds issued at par two years prior)	300,000
Net income	222,000
Income tax rate, 25%

Required

Prepare the required EPS presentation for the year.

Transcribed Image Text:

Basic EPS 4.5% Convertible bonds Adjustment to net income available to common stockholders Adjustment to common shares outstanding Tentative diluted EPS 6.5% Convertible bonds Adjustment to net income available to common stockholders Adjustment to common shares outstanding Tentative diluted EPS Net Income Available to Common Stockholders $ 222,000 $ $ 202,600 * 0 x / 0 x 0 x / Weighted Avg. Common Shares Outstanding 125,000 = $ 35,000,000 * 0x = $ 0x 0x = $ Per Share 1.78 Dilutive or Anti-dilutive Anti-dilutive Anti-dilutive ◆ x + X Basic EPS 4.5% Convertible bonds Adjustment to net income available to common stockholders Adjustment to common shares outstanding Tentative diluted EPS 6.5% Convertible bonds Adjustment to net income available to common stockholders Adjustment to common shares outstanding Tentative diluted EPS Net Income Available to Common Stockholders $ 222,000 $ $ 202,600 * 0 x / 0 x 0 x / Weighted Avg. Common Shares Outstanding 125,000 = $ 35,000,000 * 0x = $ 0x 0x = $ Per Share 1.78 Dilutive or Anti-dilutive Anti-dilutive Anti-dilutive ◆ x + X

Answer rating: 100% (QA)

Weighted Average Shares Outstanding Weighted Average Shares Outstanding Common Shares Outstanding St... View the full answer