Assume the same information as in BE17 2 except that the preferred shares are cumulative and the dividends have not yet been declared or paid In BE Hedley Corporation had 2011 net income of $1 4 million During 2011, Hedley paid a dividend of $5 per share on 100,000 preferred shares Hedley also had ...

Basic earnings per share would be 409 as in BE172 as it is assumed in t ...

Assume the same information as in BE17-2 except that the preferred shares are cumulative and the dividends

Question:

Assume the same information as in BE17-2 except that the preferred shares are cumulative and the dividends have not yet been declared or paid.
In BE Hedley had 2011 net income of $1.4 million. During 2011, Hedley paid a of $5 per share on 100,000 preferred shares. Hedley also had 220,000 common shares outstanding during the year. Calculate Hedley's 2011 earnings per share.
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...