Question
Liam Company presented the following data: Net income $2.200.000 Preference shares: 50.000 share outstanding, $100 par, 8% cumulative, not convertible 5.000.000 Ordinary shares: shares outstanding
Liam Company presented the following data: Net income $2.200.000 Preference shares: 50.000 share outstanding, $100 par, 8% cumulative, not convertible 5.000.000 Ordinary shares: shares outstanding (Jan. 1) 600.000 Issued for cash (May 1) 300.000 Acquired treasury shares for cash (Aug. 1) 150.000 3 for 1 share split (Oct. 1) Convertible bond: issues outstanding (Jan. 1) $1.000.000 in a prior year and convertible into 30,000 ordinary shares current year interest expenses $70.000 tax rate 30%
Instructions: 1. Compute ending balance share outstanding. 2. Compute weighted average number of shares outstanding. 3. Compute Earnings per Shares diluted or anti-diluted
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