Quaker State Wings has 245,000 shares outstanding and net income of $905,000. The company stock is currently selling for $79.92 per share. If the company repurchases $619,000 of its stock, what is the earnings per share after the repurchase?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter15: Dividend Policy
Section: Chapter Questions
Problem 5P
icon
Related questions
Question
Practice Pack
Quaker State Wings has 245,000 shares outstanding and net income of $905,000. The company stock is currently selling for
$79.92 per share. If the company repurchases $619,000 of its stock, what is the earnings per share after the repurchase?
Transcribed Image Text:Quaker State Wings has 245,000 shares outstanding and net income of $905,000. The company stock is currently selling for $79.92 per share. If the company repurchases $619,000 of its stock, what is the earnings per share after the repurchase?
Expert Solution
trending now

Trending now

This is a popular solution!

video

Learn your way

Includes step-by-step video

steps

Step by step

Solved in 4 steps with 2 images

Blurred answer
Knowledge Booster
Earning per share and Dilutive securities
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
EBK CONTEMPORARY FINANCIAL MANAGEMENT
EBK CONTEMPORARY FINANCIAL MANAGEMENT
Finance
ISBN:
9781337514835
Author:
MOYER
Publisher:
CENGAGE LEARNING - CONSIGNMENT