Compute basic and diluted earnings per share

Assignment Help Financial Accounting
Reference no: EM131262332

On December 31, 2015, Berclair Inc. had 600 million shares of common stock and 16 million shares of 9%, $100 par value cumulative preferred stock issued and outstanding. On March 1, 2016, Berclair purchased 30 million shares of its common stock as treasury stock. Berclair issued a 4% common stock dividend on July 1, 2016. four million treasury shares were sold on October 1. Net income for the year ended December 31, 2016, was $800 million.

Also outstanding at December 31 were incentive stock options granted to key executives on September 13, 2011. The options were exercisable as of September 13, 2015, for 63 million common shares at an exercise price of $60 per share. During 2016, the market price of the common shares averaged $70 per share.

The options were exercised on September 1, 2016.

Required:

Compute Berclair’s basic and diluted earnings per share for the year ended December 31, 2016. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)

Reference no: EM131262332

Code of ethics and standards of professional conduct entail

Explain how the following standards of the CFA Institute Code of Ethics and Standards of Professional Conduct entail, explain the duties these require from Members and Candida

What is the difference between the different opinions

The most commonly report that is issued is the standard unqualified. What is the difference between the different opinions and/or explanatory paragraphs? How does the issuance

Prepare the consolidated financial statements

Prepare the consolidated financial statements for 20X3 using the direct method, Prepare the consolidated financial statements for Peony at December 31, 20X6 using the direct m

Fantastic futons manufactures futons

Fantastic Futons manufactures futons. The estimated number of futon sales for the first three months of 2014 are as follows: Finished goods inventory at the end of 2013 was 10

Variable and absorption costing

During its first year, Walnut, Inc., showed an $36 per-unit profit under absorption costing but would have reported a total profit $32,000 less under variable costing. If prod

Two models of cabinets for home theater components

Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow: Compute the product

Values for a lump sum assuming annual compounding

1 A. Find the following values for a lump sum assuming annual compounding: a. The future value of $500 invested at 8 percent for one year b. The future value of $500 invested

Employee stock compensation details

eBay’s footnote regarding employee stock compensation details the grant of 2 million options during the year of 2013, the fair-value of which was computed as $15.39. If the op

Reviews

Write a Review

 
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