Question
Financial statement data for the years 20Y5 and 20Y6 for Black Bull Inc. follow: 20Y5 20Y6 Net income $1,660,000 $2,558,500 Preferred dividends $40,000 $40,000 Average
Financial statement data for the years 20Y5 and 20Y6 for Black Bull Inc. follow:
| 20Y5 | 20Y6 | |||
| Net income | $1,660,000 | $2,558,500 | ||
| Preferred dividends | $40,000 | $40,000 | ||
| Average number of common shares outstanding | 90,000 | shares | 115,000 | shares |
a. Determine the earnings per share for 20Y5 and 20Y6. Round to two decimal places.
| 20Y5 | 20Y6 | |||
| Earnings per Share | $fill in the blank 1 | $fill in the blank 2 | ||
b. Is the change in the earnings per share from 20Y5 to 20Y6 favorable or unfavorable?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Options Futures And Other Derivatives
Authors: John Hull
9th Global Edition
1292212896, 9781292212890
