British Columbia Corporatoin (BCC), a publically accountable enterprise, reported a net (after tax) Comprehensive Income for 2020 of $2,837,220 which included after tax Other Comprehensive loss of $500,000. BCC is taxed at 35%.

 

The company reports the following regarding its securities:

 

There are 175,000, $1.10 no-par preferred shares outstanding during 2020. These shares are convertible into Class A common shares 1-for-1 (1 common for 1 preferred) at the option of the investor.

There are $2,000,000, 5% of convertible bonds payable outstanding at the beginning of 2020, convertible into Class A shares at a rate of 30 shares per $1,000 bond, at the option of the investor. Premium amortization on the bonds of for the year totalled $10,288.

600,000, $3 no-par cumulative preferred shares, issued June 30, 2020. The shares are convertible into Class A common shares 4-for-1 (4 common for 1 preferred) at the option of the investor. Dividends become entitled on a quarterly basis.

 

BCC had 2,300,000 Class A shares common shares outstanding at the beginning of the year. On April 1, 2020, the company repurchased and retired 500,000 Class A common shares on the open market at $18 per share. On December 1, 2020, BCC sold (issued) 50,000 Class A common shares at $22 per share. 

At the beginning of 2020, 200,000 options were outstanding, allowing senior management to purchase 200,000 Class A common shares at $2.20 per share. On August 1, 2020, 50,000 of the options were exercised, when the market value of the Class A common shares was $15 per share. The average price of the Class A common shares for the first seven months and for the entire year were $10 and $12 per share respectively. The remaining options are still outstanding and will expire in 2023.

 

Common share dividends of $.65 per share were declared at year end while no dividends were declared on any preferred share classes is permitted under IDL’s Articles of Incorporation.

Required:

Calculate required EPS disclosures. BCC subscribes to full disclosure of all EPS effects on the face of the Statement of Comprehensive Income. (Round EPS to 2 decimal places.)