Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Asking about this question below. please give me detail solutions. thanks so much. The net income for Hal's Archery Corp. for the year ended December

Asking about this question below. please give me detail solutions. thanks so much.

image text in transcribedimage text in transcribedimage text in transcribed
The net income for Hal's Archery Corp. for the year ended December 31, 2021, was $1, 100,000. Hal had 30,000 ordinary shares outstanding at the beginning of the year. Hal declared and distributed a three-for-one stock split on May 1, 2021, and issued (sold) 10,000 ordinary shares on November 1, 2021. Select details of Hal's liabilities and equities follow: i (Click the icon to view the details.) Required Requirement a. Calculate Hal's basic earnings per share for 2021. Begin by calculating Hal's weighted average number of ordinary shares outstanding in 2021. (Abbreviation used: WASO = Weighted average number of ordinary shares outstanding. Complete all answer boxes. Do not round until your final answer. Then round the contribution to WASO amounts to the nearest whole number.) Opening balance of ordinary shares Fraction Share adjustment Contribution Period (2021) outstanding of year factor to WASO Jan. 1 - Apr. 30 May 1 - Oct. 31 Nov. 1 - Nov. 30 Dec. 1 - Dec. 31 Weighted-average number of ordinary shares outstanding Select the formula and enter the amounts to compute Hal's basic EPS in 2021. (Abbreviations used: WAPSO = Weighted average number of preferred shares outstanding. Round the earnings per share [EPS] to the nearest cent, $X.XX.)veighte i Required ted average J. Com ASO amounts pening Assuming that the effective rate of interest on the bonds equals the coupon rate: ordinary a. Calculate Hal's basic earnings per share for 2021. b. Prepare a schedule that sets out the income effect, share effect, and outstar incremental EPS for each security that is convertible into ordinary shares. Rank the potential ordinary shares by their dilutiveness. c. Calculate Hal's diluted earnings per share for 2021!i More Info it a. Calculate Hal' culating Hal's weig d average number o res outstanding. C D amounts to the ne er.) . Bonds A-$1,500,000, 5%, 10-year, semi-annual bonds issued on July 1, 2021. At the option of the holder, each $1,000 bond can be converted into 21 ordinary shares Openi at any time before expiry . Bonds B-$1,200,000, 3%, semi-annual bonds maturing September 30, 2025. The of ordi owners of the bonds elect to convert them into 20,400 ordinary shares on December 1 ) outs 1, 2021. . 30,000 cumulative preferred shares that are each entitled to dividends of $2.00 per . 30 annum. Dividends are not declared in 2021 t. 31 Hal's corporate tax rate was 30%. The recorded conversion factor for the convertibles v. 30 bonds has already been adjusted for the stock split

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Psychology Applied To Teaching

Authors: Jack Snowman, Rick McCown

14th Edition

1285734556, 9781285734552

More Books

Students also viewed these Accounting questions

Question

Explain ways to deal with anger constructively.

Answered: 1 week ago