Compute basic earnings per share

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Reference no: EM133903571

Problem

Howat Corporation earned $478,400 during a period when it had an average of 104,000 shares of common stock outstanding. The common stock sold at an average market price of $25 per share during the period. Also outstanding were 17,000 warrants that could be exercised to purchase one share of common stock for $9 for each warrant exercised. Get the instant assignment help. (i) Are the warrants dilutive? (ii) Compute basic earnings per share. (iii) Compute diluted earnings per share.

Reference no: EM133903571

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