Question
Q. No. 03 EPS calculations: 1. Following data of ABC & Company is available: a. Sales Revenue Rs. 2,500,000 b. Gross Profit Margin Rs. 80%
Q. No. 03 EPS calculations: 1. Following data of ABC & Company is available: a. Sales Revenue Rs. 2,500,000 b. Gross Profit Margin Rs. 80% c. Operating expenses 30% of GP d. Depreciation Rs. 60,000 e. Amortization Rs. 30,000 f. Interest Expense Rs. 100,000 g. Tax Rate 35% h. 10% Preferred Stock, issued 15,000 shares with F.V of Rs. 100 each i. Common Stock, Authorized 100.000 shares and issued shares 30,000 shares with FV of Rs. 10 each.
j. Make Income Statement and calculate PAT (Profit After Tax)? k. Calculate EPS (Earning per share)? l. Just analyze whether the EPS is good enough for Common Stock holders or not.
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