Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on january 1, 2021, tonge industries had outstandi

On January 1, 2021, Tonge Industries had outstanding 460,000 common shares ( $1 par) that...

50.1K

Verified Solution

Question

Accounting

image
On January 1, 2021, Tonge Industries had outstanding 460,000 common shares ( $1 par) that originally sold for $25 per share, and 5,000 shares of 10% cumulative preferred stock ( $100 par), convertible into 50.000 common shares. On October 1, 2021, Tonge sold and issued an additional 12,000 shares of common stock at $35. At December 31 , 2021, there were 21,000 incentive stock options outstanding, issued in 2020, and exercisable after one year for 2021,000 shares of common stock at an exercise price of $32. The market price of the common stock at year-end was $50. During the year, the price of the common shares had averaged $42. Net income was $600,000. The tax rate for the year was 25%. Required: Compute basic and diluted EPS for the year ended December 31, 2021. (Enter your answers in thousands (i.e. inn 000 should be entered as 100 ). Round "Earnings per share" answers to 2 decimal places.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Accounting
1.2K views

The Sarbanes Oxley Act is sometimes described as the "full-employment act for accountancy." Why do you...

Geometry
1.2K views

Which income tax system is based on tax brackets OA Net income tax B Sales...

Algebra
1.2K views

Keypad An architect is standing 230 feet from the elevation to be 65 what is...

Algebra
1.2K views

Use a calculator to approximate the expression If the expression is not a real number...

Algebra
1.2K views

Write each expression in exponential form 14 7m A 3m C 7m Simplify 3 15...

Accounting
1.2K views

12. Honeysuckle Manufacturing has the following data: Selling Price Variable manufacturing cost Fixed manufacturing costs...

Accounting
1.2K views

Great Lakes Manufacturing Inc. comparative statement of Financial Position Additional Information: - Operating expenses include...

Accounting
1.2K views

Paula Bonner invests $7,103.00 now for a series of $1,000 annual returns beginning one year...

Accounting
1.2K views

The following events took place at a manufacturing company for the current year: (1)...

Finance
1.2K views

use FCF model to estimate intrinsic value. companies wacc is 10% end of yr FCF...

Finance
1.2K views

H. Cochran, Inc., is considering a new three-year expansion project that requires an initial fixed...

Accounting
1.2K views

Stuart Corporations taxable income differed from its accounting income computed for this past year. An...