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(Earnings per Share) At December 31, 2011, Schroeder Corporation had the following stock outstanding. 8% cumulative preferred stock, $100 par, 107,570 shares Common stock, $5 par, 4,046,000 shares $10,757,000 20,230,000 a. During 2012, Schroeder's did not issue any additional stock. The following also occurred during 2012. Compute earnings per share data as it should appear in the 2012 income statement of Schroeder Corporation. In 2011, Schroeder did not pay dividend. Income from continuing operations before taxes Discontinued operations (loss after taxes) Dividend declared $28,876,000 3,396,400 4,028,520 40% Effective tax rate Net income Income from continuing operations before taxes Tax expense Income from continuing operations after taxes Discontinued operations (loss after taxes) $28,876,000 $11,550,400 $17,325,600 $3,396,400 $13,929,200 $1,721,120 $12,208,080 Net income Preferred dividend NICS (NI-Preferred div) Weighted avg of share outstanding EPS 4,046,000 3.02 b. What would be EPS if preferred stock is noncumulative? Net income Preferred div NICS (NI-Preferred div) Weighted avg of share outstanding EPS $13,929,200 $860,560 $13,068,640 4,046,000 3.23