Reference no: EM13154576
As an analyst you have gathered the following information about a company for the year ended December 31, 2009:
?Net income was $10.5 million.
?Stockholders' equity at December 31, 2009 was $100 million.
?Common stock dividends of $3.5 million were paid.
?20 million shares of common stock were outstanding on January 1,2009.
?The company issued 6 million new shares of common stock April 1, 2009.
?Outstanding preferred shares:
5 million shares, each convertible into 1.5 common shares par value $1 per share; liquidating value $5 per share Annual dividend $4 per share.
Required:
a. Compute the company's basic EPS for 2009.
b. Compute the company's diluted EPS for 2009.
c. Compute the company's book value per share at December 31, 2009.
d. Compute the company's book value per share at December 31, 2009 assuming conversion of the preferred shares into common shares.
e. Explain why the diluted calculations (part b and d) provide pre-share amounts that are more suitable for valuation than the amounts calculated in parts a and c.
|
What type of decision to expect from visually reported data
: What specific type of visually reported data might you use? What type of decision would you expect from those responding to your visually reported data?
|
|
What could the fed do in order to bring economy back
: What could the Fed do in 2002-2003 in order to bring the economy back to full-unemployment ? What did the Fed actually do? Explain in detail
|
|
Graphite is the crystalline form of carbon used in lead
: Graphite is the crystalline form of carbon used in lead pencils. How many moles of carbon are there in 305 mg of graphite? (b) Manganese (Mn) is a transition element essential for the growth of bones.
|
|
Includable items in gross income
: There were no other items includable in her gross income. What is the amount of her adjusted gross income?
|
|
Compute the company basic eps
: Compute the company's basic EPS for 2009. Compute the company's diluted EPS for 2009. Compute the company's book value per share at December 31, 2009. Compute the company's book value per share at December 31, 2009 assuming conversion of the preferr..
|
|
Hypothesize the basic short-run and long-run behaviors
: Hypothesize the basic short-run and long-run behaviors of the model in the industry you have chosen in a market economy. and analyze at least three (3) possible areas for the industry that could lead to transaction costs, and explain each in detail.
|
|
What did the fed actually do
: What could the Fed do in 2002-2003 in order to bring the economy back to full-unemployment ? What did the Fed actually do? Explain in detail
|
|
Calculate the expected value for the data
: He observes how many people play on each court on a particular day. Compute the expected value for the data shown below.
|
|
What mass of naoh is needed
: A 39.0 mL solution of 0.500 M Cd(NO3)2 is prepared. What mass of NaOH is needed to precipitate the Cd2+ ions from this solution?
|