Exercise 13-13 Earnings per share LO A1

Kelley Company reports $1,725,000 of net income for 2017 and declares $241,500 of cash dividends on its preferred stock for 2017. At the end of 2017, the company had 370,000 weighted-average shares of common stock. 1. What amount of net income is available to common stockholders for 2017?

2. What is the companys basic EPS for 2017?

Net income To preferred stockholders Net income available to common stockholders