What is basic earnings per share for neimer ltd

Assignment Help Financial Accounting
Reference no: EM132937199

Problem 1: During 2020, Neimer Ltd. had 350,000 common shares, 60,000 non-cumulative convertible preferred shares, and $1,200,000 10% convertible bonds outstanding. The preferred shares are convertible into 80,000 common shares. During 2020, Neimer paid dividends of $1.00 per share to the common shares and $1.50 per share to the preferred shares. Each $1,000 bond is convertible into 50 common shares. The net income for 2020 was $1,000,000 and the income tax rate was 30%. Basic earnings per share for 2020 is:

a. $2.60.
b. $3.03.
c. $2.86.
d. $2.04.

Reference no: EM132937199

Questions Cloud

How communication can be used to reduce conflicts : You are the finance manager of a service firm. How communication can be used to reduce conflicts between departments during the budgeting process
How an understanding of the behavioural factors : You are the finance manager of a service firm. How an understanding of the behavioural factors related to budgeting can be beneficial for a manger
What amount should norfolk debit to the merchandise : The retailer receives a 40% trade discount and credit terms of 2/10, n/30. What amount should Norfolk debit to the Merchandise Inventory account?
Perform the relevant data analysis tasks : Perform the relevant data analysis tasks by answering the guided questions provided (see Appendix for questions and dataset) and, identify the visualization
What is basic earnings per share for neimer ltd : bond is convertible into 50 common shares. The net income for 2020 was $1,000,000 and the income tax rate was 30%. Basic earnings per share for 2020 is
What the amount of proceeds allocated to preferred shares : What the amount of the proceeds allocated to the preferred shares account should be? On July 1, 2020, Nehan Corp. issued 4,000 of its no par common shares.
Difference between a stock price and its intrinsic value : What is the difference between a stock's price and its intrinsic value? Explain the following statement: Whereas a bond contains a promise to pay interest
Prepare a balance sheet as of may : Prepare a balance sheet as of May 31, 20Y6. When entering assets, enter them in order of liquidity. The account balances of Paradise Travel Service for the year
Prepare general journal entries to record the collection : Blundell Ltd, whose $1870 account had been written off as uncollectable in June, paid its account in full. Prepare general journal entries to record collection

Reviews

Write a Review

Financial Accounting Questions & Answers

  Prepare a reconciliation schedule to convert 2014 income

Prepare a reconciliation schedule to convert 2014 income as well as stockholders'' equity on December 31, 2014 from US GAAP to IFRS.

  Why harrys profits were different from the amount

Construct Harry's cash budget for the 3 months April, May, and June and the total for the 2nd quarter. Fixed overhead expenses requiring the use of cash may be grouped together as a single line item called "fixed overhead".

  Is danny attitude justified and why or why not

Is Danny's attitude justified? Why or why not? What, if any, action should Danny take now? Glenda Good and Danny Rock are department managers in the housewares

  How much is an initial deposit of worth

At the end of three years, how much is an initial deposit of $100 worth, assuming a compound annual interest rate of 10 percent? Show the calculation.

  Received cash and issued stock to a new stockholder

Company A received cash and issued stock to a new stockholder. In recording this? transaction:

  Compute the weighted-average number of common stock

Compute the weighted-average number of common stock shares outstanding as of December 31, 2020. September 1 Reissued 40,000 shares of treasury stock

  Required by the intercompany inventory transfers

Royal Group has owned sixty percent of the outstanding shares of Durban for a number of years. Durban reported net income for 2011 of $240,000. Since being acquired, Durban has regularly supplied inventory to Royal at twenty percent more than cost. W..

  Determine the cost of goods sold for the period

Jurvin Enterprises recorded the following transactions for the just completed month. The company had no beginning inventories. Post the above transactions to T-accounts. Determine the cost of goods sold for the period.

  What the reconciled cash balance as of october

What The reconciled cash balance as of October 31, 2019 is? The following information is available for Company Inc. for October 31, 2019

  What is dakota income tax liability

The Dakota Corporation had a 2015 taxable income of $33,365,000 from operations after all operating costs but before interest of charges of $8,500,000

  Prepare the issue of the bond entries

On June 30, Year 4 AB Company Prepare the Issue of the bond, Interest for the first two interest periods, Redemption of bonds entries.

  Determine the probability-weighted amount

Only a 10% probability that it will be completed two weeks late. Determine the probability-weighted amount for the management to determine the transaction price

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd