Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In 2019, Pharoah Ltd. issued $ 42,000 of 8% bonds at par, with each $ 1,000 bond being convertible into 100 common shares. The company

In 2019, Pharoah Ltd. issued $ 42,000 of 8% bonds at par, with each $ 1,000 bond being convertible into 100 common shares. The company had revenues of $ 73,500 and expenses of $ 42,300 for 2020, not including interest and taxes (assume a tax rate of 30%). Throughout 2020, 1,000 common shares were outstanding, and none of the bonds were converted or redeemed. (For simplicity, assume that the convertible bonds equity element is not recorded.)

(a)

Calculate diluted earnings per share for the year ended December 31, 2020. (Round answer to 2 decimal places, e.g. 15.25.)

Diluted earnings per share $ enter Diluted earnings per share in dollars

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

Sustainability Accounting And Accountability

Authors: Matias Laine, Helen Tregidga, Jeffrey Unerman

3rd Edition

1032023104, 9781032023106

More Books

Students also viewed these Accounting questions

Question

What is the education level of your target public?

Answered: 1 week ago

Question

What advertising media and promotional tactics will you use?

Answered: 1 week ago