Lester Company reported the following information for the year ended December 31, 2015: Net income $1,000,000
Preferred dividends declared and paid 160,000
Common dividends declared and paid 90,000
Average common shares outstanding 100,000 Ending market price per share 35
Net sales 3,100,000
What was Lester's earnings per share for 2015?
A) $8.40
B) $10.00
C) $7.50
D) $31.00

Question

Quizplus · Accepted Answer

Earnings per share = Net income - Preferred dividends / Average common shares outstanding= (1,000,000 - 160,000) / 100,000= $8.40

Lester Company Reported the Following Information for the Year Ended