The 2014 income statement of Schmidt Corporation showed net income of $1,230,000 and a loss from discontinued

Question:

The 2014 income statement of Schmidt showed net income of $1,230,000 and a loss from discontinued operations of $105,000. Schmidt had 40,000 common shares outstanding all year.
(a) Calculate earnings per share for 2014 as it should be reported to shareholders.
(b) Discuss why Schmidt Corporation's reporting of earnings per share is useful to financial statement users.
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...