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Questions -
Q1. Curtis Corporation reports net income for 20X9 of $150,000.00. Curtis Corporation had outstanding for all of 20X9 10,000 shares of cumulative $50.00 par, 10 percent preferred stock. Curtis Corporation had outstanding for all of 20X9 75,000 shares of $10.00 par common stock. Earnings per share is
A. $10.00.
B. $2.00.
C. $1.20.
D. $1.33.
Q2. Paula Corporation had net income of $365,000.00, paid its required preferred dividend of $17,500.00 and had no other stock transactions during the year. If the average number of common shares outstanding during the year is 69,500, the earnings per share is
A. $5.25.
B. $5.50.
C. $5.00.
D. $10.00.
Q3. A stockholder's ownership percentage in the stock of a corporation ______ upon the distribution of stock dividend.
A. can increase or decrease depending on the type of stock dividend
B. increases
C. will stay the same
D. decreases
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