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Don't know how to get the value in blue to get diluted EPS from each operation Delicious Subs Ltd. (DSL) was incorporated on January 1,
Don't know how to get the value in blue to get diluted EPS from each operation
Delicious Subs Ltd. (DSL) was incorporated on January 1, 2021. Its capital structure includes 9,000 ordinary shares; 1,800, $60,2% cumulative preferred shares; and 3,500 options on ordinary shares with a strike price of $12. DSL's net income (loss) for the year ended December 31, 2021, was ($13,000), consisting of a profit from continuing operations of $40,000 and a loss from discontinued operations of ($53,000). Dividends were neither declared nor paid in 2021. The average market price of its shares during the year was $15. Requirement 4.20 Basic EPS (loss per share) from continuing operations Basic EPS (loss per share) from discontinued operations (5.89) $ (1.68) Basic EPS (loss per share) from operations Compute the diluted earnings per share from each of continuing operations, discontinued operations, and operations. Amount Diluted earnings per share (EPS) Net income from continuing operations Less: Preferred dividends Net income from continuing operations available to ordinary shareholders 40000 (2160) 37840 Diluted EPS (loss per share) from continuing operations Diluted EPS (loss per share) from discontinued operations Diluted EPS (loss per share) from operations Enter any number in the edit fields and then click Check Answer. 1800 60 basic EPS Net income from continuing operations Less: preferred Dividends Net inc. from cont. ops. avail. To OSH basic EPS (loss/share) from cont. ops basic EPS (loss/share) from disc. Ops basic EPS (loss/share) from operations Amount 40000 2% 2160 37840 9000 4.20 9000 -5.89 9000 -1.68 37840 -53000 -15160 1800 60 2% diluted EPS Net income from continuing operations Less: preferred Dividends Net inc. from cont. ops. avail. To OSH diluted EPS (loss/share) from cont. ops diluted EPS (loss/share) from disc. Ops diluted EPS (loss/share) from operations 40000 2160 37840 37840 /9000 -53000/9000Step by Step Solution
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