Reference no: EM132758292
Question: Assume that the following data relative to Eddy Company for 2020 is available:Net Income for the year : $2,100,000;
On Jan.1,there are 700 ,000 shares of common shares outstanding transactions in common shares:
May purchase of 60,000 treasury shares
June stock split 2-1
Nov issuance of 120,000 shares
8% Cumulative Convertible Preferred Stock: $1,000,000, convertible into 200,000 shares of common stock. (adjusted for split)
Stock Options: exercisable to 60,000 shares of common stock at the price of $25 per shares and the Average market price in 2021 is $30. (both prices are also adjusted for the split)
Compute the basic earnings per share for 2020?
Compute the diluted earnings per share for 2020?
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