As a shareholder in Pinnacle, Mrs. Paul is excited about the $1,000 EPS (earning per share) she will soon receive in the form of dividends and she begins to plan her around the world cruise. However, as her broker, it is your job to figure out a way to explain why this is not likely to happen but that she might be able to cruise the Hawaiian Islands for a week.

Be sure to emphasis the difference between earning per share and dividends.