Solve the earnings per share for the year

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CEM Co. reported net income of $886,000 for 2018. It also declared and paid $68,000 preferred dividends for the same year.

At the beginning of 2018 the company had 58,000 common shares outstanding. The following three event changed the number of common shares outstanding during the year

Note: The company's year-end is December 31.

Sold 38,000 common shares

Repurchased and retired 7,000 common shares Completed a 3 for 1 share split

Required:

Question 1: Calculate the Earnings per Share for the year.

Reference no: EM132531406

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