Provide the adjusted comparative EPS

Assignment Help Accounting Basics
Reference no: EM132571926

Question - Alps Ltd has a net income after tax of $1 500 000 for the year ended 30 June 2019. At the beginning of the period Alps Ltd has 900 000 fully paid-up ordinary shares on issue. On 1 December 2018 Alps Ltd had issued a further 300 000 fully paid-up ordinary shares at an issue price of $2.00. On 1 March 2019 Alps Ltd made a one-for-six bonus issue of ordinary shares out of retained earnings. The last sale price of an ordinary share before the bonus issue was $2.50. At the beginning of the current period Alps Ltd also had 500 000, $1.00, 8% cumulative preference shares on issue. The dividends on the preference shares are not treated as expenses in the statement of comprehensive income. The basic earnings per share for the period ended 30 June 2018 was $1.50 per share.

Required -

a) Calculate the basic EPS amount for 2019 and provide the adjusted comparative EPS for 2018.

b) Explain what is diluted EPS. Give one example of a security that can dilute the basic EPS.

Reference no: EM132571926

Questions Cloud

How to compute the net cash inflow anticipated from sale : How to Compute the net cash inflow (cash receipt less yearly cash operating expenses) anticipated from sale of the device for each year over the next six years.
Find total accumulated long-service leave benefit at June : At 30 June 2019 the provision for long-service leave was $12,000. Find the total accumulated long-service leave benefit as at 30 June 2020
What are the pros and cons of outsourcing : Discuss with your classmates the issues to consider when deciding which aspects of your project for this course would be candidates for outsourcing.
What is hanson direct-material quantity variance : What is Hanson's direct-material quantity variance (MQV) for the week? Calculate Hanson's direct-material price variance (MPV) for the week.
Provide the adjusted comparative EPS : At the beginning of the current period Alps Ltd also had 500 000, $1.00, 8% cumulative preference shares on issue. Provide the adjusted comparative EPS
Calculate hanson direct-material price variance : Hanson Inc., Calculate Hanson's direct-material price variance (MPV) for the week. What is the actual price per pound paid for the material?
Describe the product or service : Describe the product or service you will produce or sell. If you choose a service company Clarify the service options you plan to offer.
Evaluate the cash payback period for each proposal : Project A as well as project B require an initial investment of $1. Determine cash payback period for each proposal. Round your answers to two decimal places.
In what circumstances are medical treatments not indicated : In what circumstances are medical treatments not indicated? What are the probabilities of success of various treatment options?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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