Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

SOLVE ASAP 2022 Calculating EPS: Simple Capital Structure and 3 years C-Bay Inc.'s accounting year ends on December 31. During the following three years, its

SOLVE ASAPimage text in transcribed

2022 Calculating EPS: Simple Capital Structure and 3 years C-Bay Inc.'s accounting year ends on December 31. During the following three years, its common shares outstanding changed as follows. 2021 2020 Shares outstanding, January 1 150,000 120,000 100,000 Sales of shares, April 1, 2020 20,000 25% stock dividend, July 1, 2021 30,000 2-for-1 stock split, July 1, 2022 150,000 Shares sold, October 1, 2022 50,000 Shares outstanding, December 31 350,000 150,000 120,000 Required a. For purposes of calculating EPS at the end of each year, determine the number of shares outstanding. Hint: consider each reporting year separately. 2022 2021 2020 Number of shares 0 0 0 b. For purposes of calculating EPS at the end of 2022, when comparative statements are being prepared on a three-year basis, determine the number of shares outstanding for each year. 2022 2021 2020 Number of shares 0 0 0 c Compute EPS for each year based on computations in part b. Assume net income is $375,000, $330,000, and $299,000, for years 2022 2021, and 2020, respectively. Note: Enter the earnings per share amounts in dollars and cents, rounded to the nearest penny. Net Income Available to weighted Avg. Common Per Basic EPS Common Stockholders Shares Outstanding Share $ 0 0 $ 0 2022 $ 0 0 2020 2021 $ 0 $ 0 $ 0 05 0

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cost Accounting Foundations And Evolutions

Authors: Amie Dragoo, Michael Kinney, Cecily Raiborn

10th Edition

1618533533, 9781618533531

More Books

Students also viewed these Accounting questions