Palace Loan Companys balance sheet reports the following: Preferred stock, $20 par value, 2%, 11,000 shares issued

Question:

Palace Loan Company’s reports the following:
Preferred stock, $20 par value, 2%, 11,000 shares issued ............ $ 220,000
Common stock, $2.50 par, 1,100,000 shares issued..................... 2,750,000
Treasury stock, common, 120,000 shares at cost ......................... 480,000

During 2012, Palace earned net income of $6,200,000. Compute Palace’s earnings per common share (EPS) for 2012. (Round EPS to two decimal places.)

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...