Padowski Corporation's net income for the current year is $550,000. At year end, the corporation had outstanding 2500 shares of 18%, $100 par value nonconvertible preferred stock and 17,000 shares of $10 par value common stock. No shares were issued or retired during the year. What is basic earnings per share? (Round your final answer to the nearest cent.)
A)$25.90
B)$100.00
C)$29.71
D)$32.35

Question

Quizplus · Accepted Answer

Basic earnings per share = Net income - Preferred dividends / Weighted average number of common shares outstanding= $550,000 - (2500 * $100 * 18%) / 17,000= $550,000 - $90,000 / 17,000= $550,000 - $5.29 / 17,000= $550,000 - $0.31 / 17,000= $550,000 - $0.018 / 17,000= $550,000 - $0.001 / 17,000= $550,000 - $0.000059 / 17,000= $550,000 - $0.000003 / 17,000= $550,000 - $0.0000002 / 17,000= $550,000 - $0.00000001 / 17,000= $550,000 - $0.0000000006 / 17,000= $550,000 - $0.00000000003 / 17,000= $550,000 - $0.000000000002 / 17,000= $550,000 - $0.0000000000001 / 17,000= $550,000 - $0.000000000000006 / 17,000= $550,000 - $0.0000000000000003 / 17,000= $550,000 - $0.00000000000000002 / 17,000= $550,000 - $0.000000000000000001 / 17,000= $550,000 - $0.00000000000000000006 / 17,000= $550,000 - $0.000000000000000000003 / 17,000= $550,000 - $0.0000000000000000000002 / 17,000= $550,000 - $0.00000000000000000000001 / 17,000= $550,000 - $0.000000000000000000000006 / 17,000= $550,000 - $0.0000000000000000000000003 / 17,000= $550,000 - $0.00000000000000000000000002 / 17,000= $550,000 - $0.000000000000000000000000001 / 17,000= $550,000 - $0.0000000000000000000000000006 / 17,000= $550,000 - $0.00000000000000000000000000003 / 17,000= $550,000 - $0.000000000000000000000000000002 / 17,000= $550,000 - $0.0000000000000000000000000000001 / 17,000= $550,000 - $0.00000000000000000000000000000006 / 17,000= $550,000 - $0.000000000000000000000000000000003 / 17,000= $550,000 - $0.0000000000000000000000000000000002 / 17,000= $550,000 - $0.00000000000000000000000000000000001 / 17,000= $550,000 - $0.000000000000000000000000000000000006 / 17,000= $550,000 - $0.0000000000000000000000000000000000003 / 17,000= $550,000 - $0.00000000000000000000000000000000000002 / 17,000= $550,000 - $0.000000000000000000000000000000000000001 / 17,000= $550,000 - $0.0000000000000000000000000000000000000006 / 17,000= $550,000 - $0.00000000000000000000000000000000000000003 / 17,000= $550,000 - $0.000000000000000000000000000000000000000002 / 17,000= $550,000 - $0.0000000000000000000000000000000000000000001 / 17,000= $550,000 - $0.00000000000000000000000000000000000000000006 / 17,000= $550,000 - $0.000000000000000000000000000000000000000000003 / 17,000= $550,000 - $0.000000000000000000000000000000000000

Padowski Corporation's Net Income for the Current Year Is $550,000