Transactions in Common Shares Change Cumulative Jan. 1,


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Transactions in Common Shares Change Cumulative Jan. 1, 2007, Beginning number 700,000 Mar. 1, 2007, Purchase of treasury shares (60,000) 640,000 June 1, 2007, Stock split 2-1 640,000 1,280,000 Nov. 1, 2007, Issuance of shares 120,000 1,400,000 8% Cumulative Convertible Preferred Stock Sold at par, convertible into 200,000 shares of common (after adjustment for stock split). 100,000 shares Stock Options Exercisable at the option price of $25 per share. Average market price in 2007 was $30 (market price and option price adjusted for split). 60,000 shares Instructions (a) Compute the basic earnings per share for 2007. (Round to the nearest penny) (b) Compute the diluted earnings per share for 2007. (Round to the nearest penny) Assume that the following data relative to Eddy Company for 2007 is available: Student
posted a question ยท May 17, 2012 at 12:48pm

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