Question
The following information is available to determine EPS for Ecto Inc. This is for year ended 12-31-18 Common Stock Date Shares New Times Times Times
The following information is available to determine EPS for Ecto Inc.
This is for year ended 12-31-18
Common Stock
Date
Shares
New
Times
Times
Times
Total
Issued
Total
Months
Split
Dividend
Total
1-Jan
Beg. Bal.
200,000
200,000
1-Apr
sold
20,000
220,000
1-May
10% div.
22,000
242,000
1-Jul
Treas Stk
-4,000
238,000
1-Sep
Sold TS
4,000
242,000
1-Oct
sold
18,000
260,000
1-Nov
2:1 split
260,000
520,000
This is the first year for splits and dividends.
Weighted Average ?
All securities have anti-dilutive clauses
Net Income
$2,100,000
Tax rate
30%
Other information
#
exchange rate
Option price
Series A warrants
20,000
issued 3-1-2015
1 for 1
$30
Series B warrants
40,000
issued 7-1-2016
2 for 1
$25
Series C warrants
50,000
issued 9-1-2018
1 for 1
$20
Stock prices
12/31/2015
$45
12/31/2016
$40
12/31/2017
$30
12/31/2018
$25
All issued prior to 2018
4.2% Preferred stock $100 par 5,000 shares issued and outstanding
Each one converts into 3 shares of common
5% Bonds, 1,000 with a $1,000 par, issued at par- non-convertible
4.5% Bonds 3,000 issued at par value of $1,000
Originally each bond converted into 15 shares of common
Determine the proper presentation of EPS for 2018.
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