Reference no: EM132972561

The Fudgee Corporation reported the following income statement and balance sheet amounts and additional information for the end of the current year.

                                                                      End of this year                 End of last year

Sales Php 610,000

Cost of sales Php 362,500

Gross income Php 247,500

Operating expenses Php 140,000

Interest expense Php 21,000

Net Income Php 86,500

Current assets                                            Php 56,500                        Php 41,000

Non-current assets                                     Php 256,000                        Php 220,000

Total assets                                                Php 312,500                         Php 261,000

Current liabilities                                           Php 28,500                            Php 26,000

Long-term liabilities                                        Php 137,500                             Php 122,500

Ordinary shareholders' equity                             Php 146,500                           Php 112,500

Total liabilities and shareholders' equity                       Php 312,500                      Php 261,000

• Inventory and prepaid expenses account for Php 15,000 of the current year's current assets.
• Average inventory for the current year is Php 18,125.
• Average net accounts receivable for the current year is Php 22,500.
• There are 35,000 ordinary shares outstanding.
• Total dividends paid during the current year were Php 8,500.
• The market price per ordinary share is Php 10.

Problem 1: What is the earnings per share for the current year?

Select one:

a. 5.93

b. Php 2.03

c. 2.56

d. 2.47