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Question - Sam Manufacturing had net income of $250,000 and declared preferred dividends of $25,000 during the current year. Sam began the year with 17,000 common shares outstanding. It issued 50,000 shares on June 30 and repurchased 6,000 of the newly issued shares on November 1. Compute Sam's basic EPS for the year.
A) $6.10
B) $13.24
C) $5.49
D) $5.36
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