What was maccarones fully diluted earnings per share

Assignment Help Financial Management
Reference no: EM131185141

Maccarone Incorporated had earnings of $1,500,000 last year. On average, 1 million shares were outstanding during the year. Had all holders of the company=s options exchanged them for stock at the beginning of the year, there would have been 1,250,000 shares outstanding on average. What was Maccarone=s fully diluted earnings per share (EPS) last year?

Reference no: EM131185141

Questions Cloud

What is the effective annual interest rate charged : Home loans typically involve “points,” which are fees charged by the lender. Each point charged means that the borrower must pay 1% of the loan amount as a fee. What is the effective annual interest rate charged on such a loan assuming loan repayment..
What was the firms cash flow to creditors : The December 31, 2013, balance sheet of Schism, Inc., showed long-term debt of $1,450,000, and the December 31, 2014, balance sheet showed long-term debt of $1,680,000. The 2014 income statement showed an interest expense of $99,000. What was the fir..
Calculate payback period and net present value : Bravo company is considering a plan to construct a new manufacturing plant to expand its operations. An attractive piece of land is available which could be purchased immediatley for $100,000. Bravo would build a plant on the land at a cost of $200,0..
What is the present value of the proceeds from the bond : You will receive $100 from a savings bond in 3 years. The nominal interest rate is 8.3%. What is the present value of the proceeds from the bond? What is the real interest rate?
What was maccarones fully diluted earnings per share : Maccarone Incorporated had earnings of $1,500,000 last year. On average, 1 million shares were outstanding during the year. Had all holders of the company=s options exchanged them for stock at the beginning of the year, there would have been 1,250,00..
Expansion project-requires an initial fixed asset investment : Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.64 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be w..
Computer-based order entry system : Your firm is contemplating the purchase of a new $555,000 computer-based order entry system. The system will be depreciated straight-line to zero over its five-year life. It will be worth $55,000 at the end of that time. You will save $285,000 before..
Interest in semi annual payments : Bills bonds pays 8% yearly interest in semi annual payments for 10 years. The current yield on similar bonds is 11%. To determine the market value of this bond, you must: a. Find the interest factors for 10 periods at 7%, b. Find the interest factor ..
Consider the cost alternatives : Consider the following cost alternatives with 10 year useful lives. The company has a MARR = 15%. Using suitable Excel functions, perform an incremental IRR analysis to determine the best alternative. Clearly lay out each step of the analysis and its..

Reviews

Write a Review

Financial Management Questions & Answers

  Calculate the firms tax on its operating earnings only

Interest versus dividend income During the year just ended, Shering Distributors, Inc., had pretax earnings from operations of $490,000.  Calculate the firm’s tax on its operating earnings only. Find the tax and the after-tax amount attributable to t..

  Calculate the firms operating cash flow

The firm has an after- tax cost of capital of 12%, and its tax rate is 40%. Last year the firm had $12 million of sales, with operating margin of 28%, while depreciation expense was $800,000, and interest expense $200,000. The firm had capital employ..

  Which you expect to provide an average return

Future value of an annuity Your client is 20 years old; and she wants to begin saving for retirement, with the first payment to come one year from now. She can save $8,000 per year; and you advise her to invest it in the stock market, which you expec..

  Considering the replacement of its old-after-tax cash flows

Filkins Fabric Company is considering the replacement of its old, fully depreciated knitting machine. Two new models are available: Machine 190-3, which has a cost of $190,000, a 3-year expected life, and after-tax cash flows. Assume that Filkins’ co..

  What is the investment proportion

Assume that you manage a risky portfolio which consists of Stock A and Stock B in the proportions listed below. Expected Return with an expected rate of return of these stocks are also listed in the table. The T-bill rate is 5%. What is the expected ..

  What is the present value of this growing perpetuity

You are evaluating a growing perpetuity product from a large financial services firm. The product promises an initial payment of $24,000 at the end of this year and subsequent payments that will thereafter grow at a rate of 0.03 annually. If you use ..

  What is the size of each monthly payment

Ralph's Machine shop purchased a computer used in tuning engines. To finance the purchase, the company borrowed 12900 at 3% compounded annually. To repay the loan, equal monthly payments are made over two years, with the first payment due one year af..

  What is your incremental cash flow from selling the machine

You purchased a machine for $1.06 million three years ago and have been applying straight-line depreciation to zero for a seven-year life. Your tax rate is 35%. If you sell the machine today (after three years of depreciation) for $779,000, what is y..

  The stock price to remain unchanged

Teardrop, Inc. wishes to expand its facilities. The company currently has 8 million shares outstanding and no debt. The stock sells for $65 per share, but the book value per share is $20. What would the new net income for Teardrop have to be for the ..

  About the average tax rate

The Savoy Corporation Income Statement Accounts for the year ending December? 31, 2014 Account Balance Cost of goods sold ?$345,000 Interest expense ?$79,000 Taxes ?$57,100 Revenue ?$836,000 ?Selling, general, and administrative expenses ?$93,000 Dep..

  Calculate the forward price

A stock is expected to pay a dividend of $2.40 per share in 1 months and in 4 months. The current stock price is $51, and the risk-free interest rate is 7% per annum with continuous compounding for all maturities. An investor has just taken a long po..

  Spot price of crude oil-what was the net convenience yield

In January 201x, the spot price of crude oil was $45.65 a barrel and the one year futures price was $56.38 per barrel. The interest rate was about 0.15 percent. What was the net convenience yield? Interpret/explain that result. EXPLAIN IN DETAIL PLEA..

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