On Jan 1st, 2023 ATU Inc. had 10 million common shares outstanding On April 1st, 2023, the company issued 3 million new shares On August 1st, a 10% stock dividend was distributed On December 1st, 1.2 million shares were reacquired as treasury stock. 1) Calculate the weighted number of basic shares outstanding as of December 31st, 2023 2) Assume executives exercise 1 million stock options when the stock price is $40 at an exercise price of $30 over 2023 Count the number of diluted shares outstanding for ATU Inc. 3) Assume Net Income $2,675.000 Calculate the company's Basic EPS and Diluted EPS L

On Jan 1st, 2023 ATU Inc. had 10 million common shares outstanding On April 1st, 2023, the company issued 3 million new shares On August 1st, a 10% stock dividend was distributed On December 1st, 1.2 million shares were reacquired as treasury stock. 1) Calculate the weighted number of basic shares outstanding as of December 31st, 2023 2) Assume executives exercise 1 million stock options when the stock price is $40 at an exercise price of $30 over 2023 Count the number of diluted shares outstanding for ATU Inc. 3) Assume Net Income $2,675.000 Calculate the company's Basic EPS and Diluted EPS L

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 27E: Percy Company has 15,000 shares of common stock outstanding during all of 2019. It also has 2...

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Anoka Company reported the following selected items in the shareholders equity section of its balance sheet on December 31, 2019, and 2020: In addition, it listed the following selected pretax items as a December 31, 2019 and 2020: The preferred shares were outstanding during all of 2019 and 2020; annual dividends were declared and paid in each year. During 2019, 2,000 common shares were sold for cash on October 4. During 2020, a 20% stock dividend was declared and issued in early May. At the end of 2019 and 2020, the common stock was selling for 25.75 and 32.20, respectively. The company is subject to a 30% income tax rate. Required: 1. Prepare the comparative 2019 and 2020 income statements (multiple-step), and the related note that would appear in Anokas 2020 annual report. 2. Next Level Compute the price/earnings ratio for 2020. How does this compare to 2019? Why is it different?
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