User Account

All Pages

Compute diluted earnings per share

Assignment Help Accounting Basics
Reference no: EM131569615

Question - In 2016, Sheridan Enterprises issued, at par, 60 $1,000, 8% bonds, each convertible into 100 shares of common stock. Sheridan had revenues of $16,000 and expenses other than interest and taxes of $6,700 for 2017. (Assume that the tax rate is 40%.) Throughout 2017, 2,400 shares of common stock were outstanding; none of the bonds was converted or redeemed.

(a) Compute diluted earnings per share for 2017.

(b) Assume the same facts as those assumed for part (a), except that the 60 bonds were issued on September 1, 2017 (rather than in 2016), and none have been converted or redeemed. Compute diluted earnings per share for 2017.

(c) Assume the same facts as assumed for part (a), except that 20 of the 60 bonds were actually converted on July 1, 2017. Compute diluted earnings per share for 2017.

Reference no: EM131569615

Questions Cloud

What should one conclude the real rate of interest to be : what should one conclude the real rate of interest to be?
What were the product costs and period costs for last year : In addition, the company suffered a $15,200 uninsured factory fire loss during the year. What were the product costs and period costs for last year
Construct a decision tree to represent the company decision : A company has to decide whether to invest money in the development of a microbiological product. The company's research director has estimated.
Financial stewardship is recurring biblical theme : Financial stewardship is a recurring Biblical theme.
Compute diluted earnings per share : In 2016, Sheridan Enterprises issued, at par, 60 $1,000, 8% bonds, Compute diluted earnings per share for 2017
The project would require an increase in inventory : While doing a capital budgeting analysis you realized that the project would require an increase in inventory of $8,000.
Calculate the firm operating return on assets : Compute the firm's 2016 net operating income and net income. Calculate the firm's operating return on assets.
Analyse the role of leaders in change management : Critically analyse the role of leaders in change management involving marketing practices. Assess whether you have a readiness for change and how it may impact.
How fast is the temperature decreasing : Where h is the height in feet. How fast is the temperature decreasing when the person is at a height of 1000 feet and rising at a height of 821 ft/hr

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd