Which is the basic eps for fox at the end of the year

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Fox Financial had 10,000 shares of common stock issued and outstanding at January 1. 50,000 shares were issued on April 1; 20,000 shares were issued on July 1; 40,000 shares were repurchased on October 1. Fox had 10,000 outstanding cumulative preferred stock set to yield and paid 8% during the year (convertible to 10,000 common shares). The issue price of the preferred shares was $10. Fox also had $100,000 worth of convertible bonds outstanding yielding 10% (convertible into 20,000 shares). The Net Income for the year was $100,000 and the tax rate is 25%.

Problem 1: Which of the following is the Basic EPS for Fox at the end of the year?

Reference no: EM132614138

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