Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Fully vested incentive stock options exercisable at $64 per share to obtain 25,000 shares of common stock were outstanding during a period when the average

Fully vested incentive stock options exercisable at $64 per share to obtain 25,000 shares of common stock were outstanding during a period when the average market price of the common stock was $80 and the ending market price was $80. By how many shares will the assumed exercise of these options increase the weighted-average number of shares outstanding when calculating diluted earnings per share?

Hardaway Fixtures' balance sheet at December 31, 2017, included the following:

Shares issued and outstanding:
Common stock, $1 par $ 880,000
Nonconvertible preferred stock, $50 par 25,000

On July 21, 2018, Hardaway issued a 25% stock dividend on its common stock. On December 12 it paid $25,000 cash dividends on the preferred stock. Net income for the year ended December 31, 2018, was $2,800,000. Required:

Compute Hardaway's earnings per share for the year ended December 31, 2018. (Enter your answers in thousands.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Forest Management Auditing

Authors: Lucio Brotto

1st Edition

0367605872, 978-0367605872

More Books

Students also viewed these Accounting questions

Question

For an integer n E N, there exists a factor of n, 1 EN such that 1

Answered: 1 week ago

Question

1. Describe the types of power that effective leaders employ

Answered: 1 week ago