Business, 24.02.2020 22:47 annagwhiteou0hrh
Dooley Co. had 200,000 shares of common stock, 20,000 shares of convertible preferred stock, and $1,000,000 of 10% convertible bonds outstanding during 20x1. The preferred stock is convertible into 40,000 shares of common stock. During 20x1, Dooley paid dividends of $1.20 per share on the common stock and $3.00 per share on the preferred stock. Each $1,000 bond is convertible into 45 shares of common stock. The net income for 20x1 was $600,000 and the income tax rate was 30%
Basic earnings per share for 20x1 is (rounded to the nearest penny)
a. $2.50.
b. $2.70.
$2.73*.
$3.00.
Answers: 2
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Dooley Co. had 200,000 shares of common stock, 20,000 shares of convertible preferred stock, and $1,...
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