Compute diluted earnings per share

Assignment Help Accounting Basics
Reference no: EM133071457

Question - In 2012 Green Enterprises issued, at par, 40, $2,500, 12% bonds, each convertible into 100 shares of common stock. Green had revenues of $45,200 and expenses other than interest and taxes of $8,400 for 2013. (Assume that the tax rate is 30%.) Throughout 2013, 1,500 shares of common stock were outstanding; none of the bonds was converted or redeemed.

Required -

(a) Compute diluted earnings per share for 2013.

(b) Assume same facts as those for Part (a), except the 40 bonds were issued on August 2013 (rather than in 2012), and none have been converted or redeemed.

Reference no: EM133071457

Questions Cloud

How large a check must the city write today : She requested recovery of lost wages plus $50,000 for pain and suffering plus $10,000 for legal expenses. How large a check must the city write today
Should the company accept the outside suppliers offer : The $13.75 unit cost is based on 8,000 switches produced each year that sell for $15.00 each. Should the company accept the outside suppliers offer
How can you decide what type of decision is strategic : Most people in business on most days deal with company tactics, decisions at level that is not strategic. How can you decide what type of decision is strategic?
Application of big data and analytics : Application of big data and analytics to central banking and The effects this will have over how these institutions operate over the next 5-10 years
Compute diluted earnings per share : In 2012 Green Enterprises issued, at par, 40, $2,500, 12% bonds, each convertible into 100 shares of common stock. Compute diluted earnings per share
What is the hedge that minimises its risk : The index is currently standing at 1050, and each contract is for delivery of $250 per index points. What is the hedge that minimises its risk
What is the amount of unamortized AAP at December : Sub regularly sells inventory to Parent, with sales of 305,000 in 2024 and 500,000 in 2025. What is the amount of unamortized AAP at December 31, 2025
What is the expected return of stock-microsoft inc : 1. An investor is considering two bonds. One is a corporate bond yielding 12%, and is currently selling at par. The marginal tax rate is 28%.
Calculate the repayment cash flows for a four-year loan : Calculate the repayment cash flows for a four-year loan with 3.15% pa fixed interest rate bullet loan and the equivalent amortized loan.

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.

  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!

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