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Earnings per share Financial statement data for the years 20Y5 and 20Y6 for Black Bull Inc. follow: 20Y5 20Y6 Net income $1,715,000 $2,404,000 Preferred dividends
Earnings per share
Financial statement data for the years 20Y5 and 20Y6 for Black Bull Inc. follow:
| 20Y5 | 20Y6 | |||
| Net income | $1,715,000 | $2,404,000 | ||
| Preferred dividends | $50,000 | $50,000 | ||
| Average number of common shares outstanding | 90,000 | shares | 110,000 | shares |
a. Determine the earnings per share for 20Y5 and 20Y6. Round to two decimal places.
| 20Y5 | 20Y6 | |||
| Earnings per Share | $ | $ | ||
b. Is the change in the earnings per share from 20Y5 to 20Y6 favorable or unfavorable?
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