Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall

Exercise 48

For the following questions, circle the best response.

Earnings per share for Carr Company were $4.80 in fiscal 2009. In 2010 a 20% stock dividend was issued, and in 2011 a 4-for-1 stock split was made. Earnings per share for 2009, to be reported in 2011, are

a. $1.00.

b. $1.20.

c. $1.44.

d. $4.00.

e. $4.80.