Problem #1:

The KAKE Corporation has 100,000 ordinary shares authorized, par value P10. As of the end of reporting period, 60,000 of the shares are outstanding.

Required: Compute the earnings per share assuming the company has a profit of:

A. P10,000

B. P70,000

C. P90,000

D. P150,000

E. P180,000

Problem #2

The MOSES Corporation has the following information relating to its share capital:

• 10% Preference shares, cumulative, P100 par value, 30,000 shares authorized, 20,000 shares outstanding - P2,000,000
• Ordinary shares, P10 par value, 500,000 authorized, 300,000 shares outstanding - P3,000,000

Required: Compute the earnings per share assuming that the reported profit of the company is P750.000.