Reference no: EM132499881

Following data of ABC & Company is available:

a. Sales Revenue Rs. 1,500,000

b. Gross Profit Margin Rs. 80%

c. Operating expenses 30% of GP

d. Depreciation Rs. 40,000

e. Amortization Rs. 20,000

f. Interest Expense Rs. 80,000

g. Tax Rate 30%

h. 10% Preferred Stock, issued 10,000 shares with F.V of Rs. 100 each

i. Common Stock, Authorized 100.000 shares and issued shares 25,000 shares with FV of Rs. 10 each.

Question 1: Make Income Statement and calculate PAT?

Question 2: Calculate EPS?

Question 3: Just analyze whether the EPS is good enough for Common Stock holders or not.