Ask Experts Questions for FREE Help !
Ask
    bilby_jonathan's Avatar
    bilby_jonathan Posts: 3, Reputation: 1
    New Member
    		  
    #1

    Jun 3, 2007, 11:27 PM
    Calculate earnings per share
    Quark company earned $90,000 in income and paid cash dividends of $10,000 to preferred shareholders during the current year. Quark had 12,500 weighted-average shares of common stock outstanding for the year.

    Calculate the company's earnings per share.
    J_9's Avatar
    J_9 Posts: 40,298, Reputation: 5646
    Expert
    		  
    #2

    Jun 3, 2007, 11:31 PM
    Please read this announcement regarding homework help
    omsailogistic's Avatar
    omsailogistic Posts: 39, Reputation: -1
    Junior Member
    		  
    #3

    Jun 4, 2007, 04:32 AM
    Concept: The common stock holders are entitled to receive share in profits ( in the form of dividend) only after all obligations ( interest, pref dividend etc ) have been paid.

    Therefore amount available for common stockholders = $90000 - $ 10000
    = $80000
    Outstanding Stock = 12500

    EPS = $80000 / 12500
    EPS = 6.4 PER SHARE

    Hope you find the answer :-)
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Calculate retained earnings [ 2 Answers ]

If a corporation has assets of $250,000, liabilities of $70,000, and capital stock of $120,000, what is the amount of retained earnings?

Basic earnings per share and diluted earnings per share [ 1 Answers ]

:confused: what is the different between Basic earnings per share and Diluted earnings per share :confused:

Earnings per share [ 2 Answers ]

I need assistance with calculating basic and diluted earnings per share. I am not understanding what is antidilutive and when to calculate that. HELP!!

View more questions Search