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Parent Subsidiary $100.000 $4.0001 30.000 20000(16000=80% owned by parent) Net income Common share outstanding convertible preferred stock Dividends= $10000. Convertible into 5000 shares of common
Parent Subsidiary $100.000 $4.0001 30.000 20000(16000=80% owned by parent) Net income Common share outstanding convertible preferred stock Dividends= $10000. Convertible into 5000 shares of common sock Convertible bonds Interest expense after tax = $6000, Convertible into 3000 shares of common stock + 1. Compute diluted EPS of subsidiary 2. Compute consolidated diluted EPS
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