Compute dow''s earnings per share for the year ended

Compute dow''s earnings per share for the year ended december

Assignment Help Financial Accounting

Reference no: EM13843541

On December 31, 2012, Dow Steel Corporation had 740,000 shares of common stock and 44,000 shares of 10%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 5% common stock dividend on May 15 and paid cash dividends of $540,000 and $83,000 to common and preferred shareholders, respectively, on December 15, 2013.

On February 28, 2013, Dow sold 68,000 common shares. In keeping with its long-term share repurchase plan, 3,000 shares were retired on July 1. Dow's net income for the year ended December 31, 2013, was $2,800,000. The income tax rate is 40%.

Required:

Compute Dow's earnings per share for the year ended December 31, 2013. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Reference no: EM13843541

Questions Cloud

In what ways can the presidency of richard nixon : In what ways can the presidency of Richard Nixon be considered progressive? Which reforms initiated by President Johnson did Nixon advance once he took office?

How employees is used to allocate accounting costs : Allocate the support departments' costs to the operating departments using the direct method. Rank the support departments based on the percentage of their services provided to other support departments. Use this ranking to allocate the support de..

Net income for the year ended : On December 31, 2012, Berclair Inc. had 500 million shares of common stock and 22 million shares of 7%, $100 par value cumulative preferred stock issued and outstanding. On March 1, 2013, Berclair purchased 30 million shares of its common stock as tr..

Define activity based costing : There are three reasons that Activity Based costing is not an acceptable practice for external accounting reports. First, non manufacturing costs are only allocated to the products that cause them. Shipping, commissions and warranty costs for a ..

Compute dow''s earnings per share for the year ended december : Compute Dow's earnings per share for the year ended December 31, 2013. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

When computing diluted eps : When computing diluted EPS, do not weight any assumed conversion of stock options, convertible preferred stock, and convertible bonds for stock dividends declared during the year. In other words, use the same format reflected in the solutions to the ..

What are the total assets of the company : What are the total assets of the company. What are the current assets of the company. Provide a segmental breakdown of the markets.

How an earnings bath may be achieved : who is due to take up his appointment very shortly. Last night, at the invitation of a friend, you attended a prestigious charity function which, coincidentally, was also attended by Mr Bouche

The ethical implications of insider trading : Write a 3–5 page essay about the ethical implications of insider trading. Financial statements and information are very important to investors. If some of this information is used or shared before it is released to the public

User Account

All Pages