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Shamrock Corporation had a net income for the current year ending December 31, 2021 of $1,204,500. Throughout 2021 the following items were outstanding: . 413,000
Shamrock Corporation had a net income for the current year ending December 31, 2021 of $1,204,500. Throughout 2021 the following items were outstanding: . 413,000 common shares 18,500 Class A $3 cumulative preferred shares that were convertible to common shares at a rate of 1:1 49,500 Class B $4 non-cumulative preferred shares that were convertible at a rate of one common share for every two preferred shares. $551,000, 8% bonds that were convertible to 14,500 common shares $303,000, 10% bonds convertible to 9,000 common shares . No dividends were declared or paid in 2021. Shamrock's tax rate is 25%. Calculate the after-tax interest paid on the 8% bonds. $ $ 33,060 After-tax interest on 8% bonds converted Determine an incremental per share effect for 8% bonds. (Round earnings per share to 2 decimal places, e.g. 15.25.) Potentially dilutive security Incremental Numerator Effect Incremental Denominator Effect EPS 8% Bonds $ $ $ Calculate the after-tax interest paid on the 10% bonds. $ After-tax interest on 10% bonds converted Determine an incremental per share effect for 10% bonds. (Round earnings per share to 2 decimal places, eg. 15.25.) Potentially dilutive security Incremental Numerator Effect Incremental Denominator Effect EPS 10% Bonds $ $ $ $
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