Santana Corporation has 400,000 shares of common stock outstanding throughout 2010. In addition, the corporation has 5,000,

Question:

Santana has 400,000 shares of outstanding throughout 2010. In addition, the has 5,000, 20-year, 7% bonds issued at par in 2008. Each $1,000 bond is convertible into 20 shares of after 9/23/11. During the year 2010, the earned $600,000 after deducting all expenses. The tax rate was 30%.InstructionsCompute the proper earnings per share for 2010.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... 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...