Question
Financial statement data for the years ended December 31 for Cottontop Corporation follow: 20Y3 20Y2 Net income $586,000 $521,000 Preferred dividends $89,000 $89,000 Average number
Financial statement data for the years ended December 31 for Cottontop Corporation follow:
| 20Y3 | 20Y2 | |||
| Net income | $586,000 | $521,000 | ||
| Preferred dividends | $89,000 | $89,000 | ||
| Average number of common shares outstanding | 35,000 | shares | 30,000 | shares |
a. Determine the earnings per share for 20Y3 and 20Y2. Round your answers to two decimal places.
| 20Y3 | $fill in the blank 1 per share |
| 20Y2 | $fill in the blank 2 per share |
b. Does the change in the earnings per share from 20Y2 to 20Y3 indicate a favorable or unfavorable trend?
FavorableUnfavorable
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Intermediate Accounting
Authors: Earl K. Stice, James D. Stice
19th edition
1133957919, 978-1285632988, 1285632982, 978-0357691229, 978-1133957911
