Reference no: EM132997752
Question - Wildhorse Corporation is preparing earnings per share data for 2020. The net income for the year ended December 31, 2020, was $407,000 and there were 59,200 common shares outstanding during the entire year. Wildhorse has the following two convertible securities outstanding:
10% convertible bonds (each $1,000 bond is convertible into 25 common shares) $100,0004% convertible $100 par value preferred shares (each share is convertible into 3 common shares) $47,000
Both convertible securities were issued at face value in 2017. Wildhorse's income tax rate is 24%. The preferred shares are cumulative. For simplicity, ignore the requirement to record the debt and equity components of the bonds separately.
Assume that 40% of the convertible bonds were converted to common shares on April 1, 2020.
The balances at December 31, 2020 do not reflect the conversion of April 1, 2020.
Determine an incremental per share effect for 10% bonds.
What is the amount of amortization of discount
: The prevailing interest rate for this type of note is 15%. What is the amount of amortization of discount on the note payable as of December, 31, 2022
|
Calculate Daniel profit or loss
: Daniel pays premium of $0.012 per unit for the option. Just before the expiration date, the spot rate of British pound reaches $1.41. Calculate Daniel profit
|
What the adjusted cash balance
: At the close of business on June 30, its Cash account shows a debit balance of $64,709. What the adjusted cash balance
|
What is the optimal number of heating oil futures contracts
: Assuming no daily settlement, what is the optimal number of heating oil futures contracts that need to be hedged
|
Determine an incremental per share effect
: Assume that 40% of the convertible bonds were converted to common shares on April 1, 2020. Determine an incremental per share effect for 10% bonds
|
Discuss three international corporate-level strategies
: Prompt: Discuss three international corporate-level strategies. Several of these strategies include exporting, licensing, strategic alliances, acquisitions, and
|
What are the reasons for drug prices being so high
: What are the reasons for drug prices being so high in the United States as compared to other advanced nations globally?
|
Prepare the installment table for the five months
: On July 1, 2020, Koinadugu Corporation incurs a 30-year, $585,000 mortgage liability upon purchaseof a warehouse. Prepare the Installment table for the five mon
|
Theoretical review of relevant literature and application
: Employees' social media and how it can impact their job - Research is a theoretical review of relevant literature and application of findings in the literature
|