Calculation of the EPS

Assignment Help Financial Accounting
Reference no: EM132847450

Question - Pristine Resources Company, (PRC), a privately held company with widely traded bonds on the open market and with a December 31, year-end had the following items and issues pertaining to its 2020, year-end. Assume all amounts provided are material to the operations of PRC.

Required - Respond to each item as its treatment/reporting in the financial statements for 2020 and, if required, provide related accounting entries. If it is a disclosure/presentation issue, indicate the proper classification on the Statement of Financial Position.

The VP Finance recognizes the importance of earnings-per-share (EPS) reporting and is asking you to clarify a few points regarding EPS. Her staff has performed some preliminary calculations for the year just ended. She asks you the following questions to which you reply.

a) We have several instruments that could result in preferred shares being issued if they were exercised.

b) Do you think all of our convertible instruments enter in to the calculation of the EPS?

Reference no: EM132847450

Questions Cloud

Identify warning signs and reduce contributing factors : Review a case study that points out some of the issues that can develop, and consider ways to identify warning signs and reduce contributing factors
Calculate the new profit margin based on the results : Calculate the new profit margin based on the results from your deterministic model and your stochastic model.
Find the probability that the subject tested negative : If one of the test subjects is randomly? selected, find the probability that the subject tested negative or did not use marijuana.?
Write the logical negation of the sentences below : Write the logical negation of the sentences below. Remember to use the logical negation as we defined in the course, and notjust a simple notion of "opposite."
Calculation of the EPS : The VP Finance recognizes the importance of earnings-per-share (EPS) reporting. Do you think all of convertible instruments enter in to calculation of the EPS
How many would we expect to be committed with a ?rearm : (a) If 400 murders are randomly selected, how many would we expect to be committed with a ?rearm?
Determine the values benefits in the price system : A retired person bought a property worth $200,000 today, Assemble amortization tables and determine the values benefits in following systems: PRICE, SAC AND SAA
Find the probability that the students get marks : From the data given below, assume it is normally distributed.
Calculate the current value of the firm equity in total : The required rate of return for shareholders is 12%. Calculate the current value of the firm's equity in total and per share

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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