What are the earnings per share amounts

Assignment Help Financial Accounting

Reference no: EM134950

Q. Porter Corporation owns all 26,000 shares of the common stock of Street, Inc. Porter has 60,000 shares of its own common stock outstanding. During the current year, Porter earns income (without any consideration of its investment in Street) of $211,000 while Street reports $161,000. Annual amortization of $18,000 is recognized each year on the consolidation worksheet based on acquisition date fair-value allocations. Both companies have convertible bonds outstanding. During the current year, bond-related interest expense (net of taxes) is $46,000 for Porter and $45,000 for Street. Porter's bonds can be converted into 10,000 shares of common stock; Street's bonds can be converted into 14,000 shares. Porter owns none of these bonds.

What are the earnings per share amounts that Porter should report in its current year consolidated income statement?

Reference no: EM134950

Questions Cloud

Describe the discrepancy between diamond foods : Describe the discrepancy between Diamond Foods, Inc.'s description of payments to walnut growers and what the farmers themselves say the payments are for

Prepare a statement of cash flows : Prepare a Statement of Cash Flows in good form using the above information and the indirect method. Prepare the Net Cash Provided by Operating Activities section, using the above information, using the direct method.

Determine the rate used to discount the noninterest-bearing : Determine the rate used to discount the noninterest-bearing note. Determine the explicit interest rate on Note 2.

Determine common stock value : At the exchange date, Stone general stock had a fair value of $45 per share, and the patent had a net carrying value of $160,000 on Gore's books.

What are the earnings per share amounts : What are the earnings per share amounts that Porter should report in its current year consolidated income statement?

What amount is attributed to goodwill on date of acquisition : What amount is attributed to goodwill on the date of acquisition, All of the subsidiary's liabilities and assets are viewed as having fair values equal to their book values.

Analysis of financial position compute mcdonough products : For the analysis of financial position, compute McDonough Products' (a) Current ratio and (b) Debt ratio. Compare these ratios with the industry averages. Is McDonough Products' financial position better or worse than the average for the industry?

Prepare a multiple-step income statement with earnings : Prepare a multiple-step income statement with earnings per share disclosure. Plano Company. Partial trial balance for Plano Company.

Compute diluted earnings per share : Compute diluted earnings per share, Earnings before interest and taxes and Common Stock

User Account

All Pages