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During the current year, Comma Co. had outstanding: 25,000 shares of $5 par common stock; 8,000 shares of $20 par, 10% cumulative preferred stock; and
During the current year, Comma Co. had outstanding: 25,000 shares of $5 par common stock; 8,000 shares of $20 par, 10% cumulative preferred stock; and 3,000 compensatory stock options. Each option can be exercised to purchase 1 share of common stock. The exercise price is $30 and the average market price per share during the current year was $40. Net income for the year was $200,000, no dividends were declared and the tax rate was 30%. What is Commas diluted earnings per share for the current year?
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