Pagle Corporation holds 80 percent of Standard Company's common shares. The companies report the following balance sheet dat for December 31, 20X1: Assets Cash Accounts Receivable Inventory Buildings and Equipment Less: Accumulated Depreciation Investment in Standard Company Stock Total Assets Liabilities and Owners' Equity Accounts Payable Taxes Payable Preferred Stock ($10 par value) Common Stock: $10 par value $5 par value Retained Earnings Total Liabilities and Owners' Equity Pagle Corporation $ 57,000 85,000 127,000 710,000 (300,000) 136,000 $ 815,000 Basic earnings per share Diluted earnings per share $ 234,000 71,000 200,000 100,000 210,000 $ 815,000 Required: Compute basic and diluted EPS for the consolidated entity for 20X1. Note: Round your answers to 2 decimal places. Standard Company $ 47,000 65,000 77,000 330,000 (145,000) $ 374,000 $ 104,000 100,000 An 8 percent annual dividend is paid on the Pagle preferred stock and a 12 percent dividend is paid on the Standard preferred stock Pagle's preferred shares are not convertible. Standard's preferred shares can be converted into 15,000 shares of common stock at a time. For 20X1, Standard reports $54,000 of net income and pays total dividends of $24,000, and Pagle reports $70,000 of income from its separate operations and pays total dividends of $41,000. 50,000 120,000 $ 374,000

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Pagle Corporation holds 80 percent of Standard Company's common shares. The companies report the following balance sheet data
for December 31, 20X1:
Assets
Cash
Accounts Receivable
Inventory
Buildings and Equipment
Less: Accumulated Depreciation
Investment in Standard Company Stock
Total Assets
Liabilities and Owners' Equity
Accounts Payable
Taxes Payable
Preferred Stock ($10 par value)
Common Stock:
$10 par value
$5 par value
Retained Earnings
Total Liabilities and Owners' Equity
Pagle
Corporation
$ 57,000
85,000
127,000
710,000
(300,000)
136,000
$ 815,000
Basic earnings per share
Diluted earnings per share
$ 234,000
71,000
200,000
100,000
210,000
$ 815,000
Required:
Compute basic and diluted EPS for the consolidated entity for 20X1.
Note: Round your answers to 2 decimal places.
Standard
Company
$ 47,000
65,000
77,000
330,000
(145,000)
$ 374,000
$ 104,000
100,000
An 8 percent annual dividend is paid on the Pagle preferred stock and a 12 percent dividend is paid on the Standard preferred stock.
Pagle's preferred shares are not convertible. Standard's preferred shares can be converted into 15,000 shares of common stock at any
time. For 20X1, Standard reports $54,000 of net income and pays total dividends of $24,000, and Pagle reports $70,000 of income
from its separate operations and pays total dividends of $41,000.
50,000
120,000
$ 374,000
Transcribed Image Text:Pagle Corporation holds 80 percent of Standard Company's common shares. The companies report the following balance sheet data for December 31, 20X1: Assets Cash Accounts Receivable Inventory Buildings and Equipment Less: Accumulated Depreciation Investment in Standard Company Stock Total Assets Liabilities and Owners' Equity Accounts Payable Taxes Payable Preferred Stock ($10 par value) Common Stock: $10 par value $5 par value Retained Earnings Total Liabilities and Owners' Equity Pagle Corporation $ 57,000 85,000 127,000 710,000 (300,000) 136,000 $ 815,000 Basic earnings per share Diluted earnings per share $ 234,000 71,000 200,000 100,000 210,000 $ 815,000 Required: Compute basic and diluted EPS for the consolidated entity for 20X1. Note: Round your answers to 2 decimal places. Standard Company $ 47,000 65,000 77,000 330,000 (145,000) $ 374,000 $ 104,000 100,000 An 8 percent annual dividend is paid on the Pagle preferred stock and a 12 percent dividend is paid on the Standard preferred stock. Pagle's preferred shares are not convertible. Standard's preferred shares can be converted into 15,000 shares of common stock at any time. For 20X1, Standard reports $54,000 of net income and pays total dividends of $24,000, and Pagle reports $70,000 of income from its separate operations and pays total dividends of $41,000. 50,000 120,000 $ 374,000
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