Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On January 1, 2025, Skysong Industries had stock outstanding as follows: 8% Noncumulative preferred stock, $100 par value, issued and outstanding 257,000 shares Common
On January 1, 2025, Skysong Industries had stock outstanding as follows: 8% Noncumulative preferred stock, $100 par value, issued and outstanding 257,000 shares Common stock, $1 par value, issued and outstanding 639,000 shares $25,700,000 639,000 To acquire the net assets of three smaller companies, Skysong issued an additional 585,000 common shares. The acquisitions took place as follows. Date of Acquisition MicroBio February 1, 2025 Shares Issued 219,000 75,000 SuperBio November 1, 2025 291,000 Bio Tech June 1, 2025 On December 31, 2025, Skysong reported net income of $10,840,000 before taxes. No dividends on the common or preferred stock were declared during 2025. Assuming a 40% tax rate, compute the earnings per share data that should appear on the financial statements of Skysong Industries as of December 31, 2025. (Round answer to 2 decimal places, eg. 2.55) Earnings per share 5.47
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started