Question
In 20x2, the corporate tax rate is 20% and a firm has net income of 1,600. Its capital structure consists of - 400 common shares
In 20x2, the corporate tax rate is 20% and a firm has net income of 1,600. Its capital structure consists of
- 400 common shares outstanding
- $5,000 (face value) of 8% convertible bonds, convertible into a total of 200 common shares. In 20x2, the firm pays dividends of $3 per common share.
What is the firm's diluted earnings per share for 20x2?
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Personal Finance
Authors: Jack Kapoor, Les Dlabay, Robert Hughes
4th Edition
0256147175, 978-0256147179
