Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1. Compute Ainsworth's net loss per share for the year ended December 31, 2024. 2. Compute the per share amount of income or loss from
1. Compute Ainsworth's net loss per share for the year ended December 31, 2024. 2. Compute the per share amount of income or loss from continuing operations for the year ended December 31, 2024. Note: Do not round intermediate calculations. Enter your answers in millions (i.e., 10,000,000 should be entered as 10). Negative amounts should be indicated by a minus sign. Prepare an EPS presentation that would be appropriate to appear on Ainsworth's 2024 and 2023 comparative income statements. Assume EPS was reported in 2023 as $0.80, based on net income (no discontinued operations) of $400 million and a weighted-average number of common shares of 500 million. Note: Round your answers to 2 decimal places. Loss amounts should be indicated with a minus sign. On December 31, 2023, Ainsworth, Incorporated had 500 million shares of common stock outstanding. - Twenty three million shares of 7\%, \$100 par value cumulative, nonconvertible preferred stock were sold on January 2, 2024. - On April 30, 2024, Ainsworth purchased 50 million shares of its common stock as treasury stock. - Twenty million treasury shares were sold on August 31. - Ainsworth issued a 4\% common stock dividend on June 12, 2024. - No cash dividends were declared in 2024. - For the year ended December 31, 2024, Ainsworth reported a net loss of \$155 million, including an after-tax loss from discontinued operations of $430 million. Required: 1. Compute Ainsworth's net loss per share for the year ended December 31, 2024. 2. Compute the per share amount of income or loss from continuing operations for the year ended December 31, 2024. 3. Prepare an EPS presentation that would be appropriate to appear on Ainsworth's 2024 and 2023 comparative income statements. Assume EPS was reported in 2023 as $0.80, based on net income (no discontinued operations) of $400 million and a weighted-average number of common shares of 500 million
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started