Determining basic earnings per share-paul company

Assignment Help Accounting Basics
Reference no: EM13140775

Paul Company had 100,000 shares of common stock outstanding on January 1, 2009. On September 30, 2009, Paul sold 48,000 shares of common stock for cash. Paul also had 10,000 shares of convertible preferred stock outstanding throughout 2009. The preferred stock is $100 par, 6%, and is convertible into 3 shares of common for each share of preferred. Paul also had 500, 8%, convertible bonds outstanding throughout 2009. Each $1,000 bond is convertible into 30 shares of common stock. The bonds sold originally at par. Reported net income for 2009 was $300,000 with a 40% tax rate. The regular common and preferred dividends were paid in 2009.

Compute basic earnings per share for 2009.

Reference no: EM13140775

Questions Cloud

Explain using the routh hurwitz method : Using the Routh Hurwitz method, find the values of k for which the following polynomial has all its roots to the left of s = -1.
Why did nibco decide to purchase an erp system? : Why did NIBCO decide to purchase an ERP system?
What is its empirical formula : Hydroxylamine hydrochloride is a powerful reducing agent which is used as a polymerization catalyst. It contains 5.80 mass % H, 20.16 mass % N, 23.02 mass % O, and 51.02 mass % Cl. What is its empirical formula?
What concepts state an accounting transaction allow : what accounting concepts state that an accounting transaction should be supported by sufficient evidence to allow two or more qualified individuals to arrive at essentially similar conclusion?
Determining basic earnings per share-paul company : Paul Company had 100,000 shares of common stock outstanding on January 1, 2009. On September 30, 2009, Paul sold 48,000 shares of common stock for cash. Compute basic earnings per share for 2009.
What are the key enzymes involved in the carbon fixation : What are the enzymes that are involved in replication, transcription and translation? Also, what are the key enzymes involved in the carbon fixation and the key allosteric enzyme in Glycolysis?
What are different types of decisions that users make : What are the different types of decisions that users of financial accounting information must make? What are  different types of decisions that users of managerial accounting must make?
Describe the clash of values in the 1920s : Describe the clash of values in the 1920s and the changing status of women.
Product with a known defect : Is it acceptable to market a product with a known defect, if financial benefits exceed costs?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Prepare conlin entry to record effect of the loss carrback

In 2013 Conlin suffered a net operating loss of $491,700, which it elected to carry back. The 2013 enacted tax rate is 29%. Prepare Conlin's entry to record the effect of the loss carryback.

  Prepare journal entries to record the transactions

Each fund must account for interfund activity as if it were a separate accounting entity.

  Weighted average shares outstanding

The common stock equivalents added to the company's weighted average shares outstanding used for basic earnings per share was computed using the treasury stock methods.

  What is realized and recognized gain on the second asset

Jerry transfers two assets to a corporation as part of a Sec. 351 exchange. The first asset has an adjusted basis of $70,000 and a FMV of $50,000. The second asset has an adjusted basis of $70,000 and a FMV of $150,000. The FMV of the stock receiv..

  What technique of accounting should web-browser use

What technique of accounting should Web-Browser use to account for its investment in Internet Access at 31 st December, 1998, and June 30, 1999 (i.e., cost or equity method)?

  Discuss briefly the financial reporting differences

Specific identification method (62 of the units sold were purchased on April 9, and the remaining units were purchased on May 1).

  Evaluate the effectiveness of the company disaster recovery

assess the short- and long-term impact the disaster had to the business and stakeholders. Provide specific examples to support your response.

  Evaluate the pros and cons of the present university

Eastern University pays the benefit directly to the university where the staff/faculty member's child is enrolled or if the student is attending Eastern, it reduces the amount of tuition owed by the faculty/staff member.

  How many units are in ending work in process

In Saint-Simon, Inc., the Assembly Department started 18,000 units and completed 21,000 units. If beginning work in process was 9,000 units, how many units are in ending work in process?

  How much of the utility cost is fixed cost

Fixed costs are $400,000 and the contribution margin per unit is $80. What is the break-even point?

  What is the objective of lease classification criteria

An important element of evaluating leases is determining whether substantially all of the risk and rewards of ownership are transferred in the lease. How os "Substantially all" defined in the authoritative literature?

  Fund level entries in general journal

Provide the fund level entries in general journal form required to conform to generally accepted accounting principles. If no entry is needed, so indicate.

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