Reference no: EM132039043

Net loss; stock dividend; nonconvertible preferred stock; treasury shares; shares sold; discontinued operations [LO19-5, 19-6, 19-7, 19-13] On December 31, 2015, Ainsworth, Inc., had 640 million shares of common stock outstanding. Twenty seven million shares of 7%, $100 par value cumulative, nonconvertible preferred stock were sold on January 2, 2016. On April 30, 2016, Ainsworth purchased 30 million shares of its common stock as treasury stock. Twelve million treasury shares were sold on August 31. Ainsworth issued a 5% common stock dividend on June 12, 2016. No cash dividends were declared in 2016. For the year ended December 31, 2016, Ainsworth reported a net loss of $175 million, including an after-tax loss from discontinued operations of $470 million. Required: 1. Compute Ainsworth's net loss per share for the year ended December 31, 2016. (Round your intermediate calculations to 2 decimal places. Negative amounts should be indicated by a minus sign. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) 2. Compute the per share amount of income or loss from continuing operations for the year ended December 31, 2016. (Round your intermediate calculations to 2 decimal places. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).) 3. Prepare an EPS presentation that would be appropriate to appear on Ainsworth's 2016 and 2015 comparative income statements. Assume EPS was reported in 2015 as $0.80, based on net income (no discontinued operations) of $512 million and a weighted-average number of common shares of 640 million. (Round your answers to 2 decimal places. Loss amounts should be indicated with a minus sign.)