Question: At the end of 2020, the records of Block Corporation reflected the following. Common stock, $5 par, authorized 500,000 shares Outstanding January 1, 2020, 400,000
At the end of 2020, the records of Block Corporation reflected the following.
| Common stock, $5 par, authorized 500,000 shares | ||
| Outstanding January 1, 2020, 400,000 shares | $2,000,000 | |
| Sold and issued April 1, 2020, 2,000 shares | 10,000 | |
| Issued 5% stock dividend, September 30, 2020; 20,100 shares | 100,500 | |
| Preferred stock, 6%, $10 par, nonconvertible, noncumulative, authorized 50,000 shares | ||
| Outstanding during year, 20,000 shares | 200,000 | |
| Paid-in capital in excess of par, common stock | 180,000 | |
| Paid-in capital in excess of par, preferred stock | 100,000 | |
| Retained earnings (after the effects of current preferred dividends declared during 2020) | 640,000 | |
| Bonds payable, 6.5%, nonconvertible, issued at par January 1, 2020 | 1,000,000 | |
| Net income | 164,000 | |
| Income tax rate, 25% |
a. Compute the required EPS amount(s)
| Net Income Available to Common Stockholders | Weighted Avg. Common Shares Outstanding | Per Share | |
|---|---|---|---|
| Basic EPS | Answer | Answer | Answer |
| Net Income Available to Common Stockholders | Weighted Avg. Common Shares Outstanding | Per Share | |
|---|---|---|---|
| Diluted EPS | Answer | Answer | Answer |
Step by Step Solution
3.42 Rating (155 Votes )
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
