The income statement of Laguna Company for the years ended December 31, 2018 showed net income of P15,000,000. The net income reflects an income tax rate of 30%. the net income included a casually loss of P5,000,000 before income tax. no dividends on preference shares were declared or paid during the year. the entity reported the following shareholders' equity on December 31, 2018: preference share capital, 10% noncumulative, P50 par value, 100 000 shares P5 000 000 ordinary share capital, P100 par value P30 000 000 share premium P10 000 000 retained earnings P18 000 000 treasury ordinary shares, 50 000 at cost P4 000 000 what amount should be reportedas basic earnings per share? a.58.00 b.60.00 c. 73.60 d. 48.33

The income statement of Laguna Company for the years ended December 31, 2018 showed net income of P15,000,000. The net income reflects an income tax rate of 30%. the net income included a casually loss of P5,000,000 before income tax. no dividends on preference shares were declared or paid during the year. the entity reported the following shareholders' equity on December 31, 2018: preference share capital, 10% noncumulative, P50 par value, 100 000 shares P5 000 000 ordinary share capital, P100 par value P30 000 000 share premium P10 000 000 retained earnings P18 000 000 treasury ordinary shares, 50 000 at cost P4 000 000 what amount should be reportedas basic earnings per share? a.58.00 b.60.00 c. 73.60 d. 48.33

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter16: Retained Earnings And Earnings Per Share

Section: Chapter Questions

Problem 24E

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