Financial Accounting: Tools for Business Decision Making, 8th Edition
Financial Accounting: Tools for Business Decision Making, 8th Edition
8th Edition
ISBN: 9781118953808
Author: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
Publisher: WILEY
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Chapter 13, Problem 2Q
To determine

Earnings per Share: Earnings per share help to measure the profitability of a company. Earnings per share are the amount of profit that is allocated to each share of outstanding stock.

Formula:

Earningspershare = Netincome – PreferreddividendsWeighted average number of common shares outstanding

To determine:

Whether the trend is favorable or not for Company H.

Given info:

Earnings per share for 2016 and 2017

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Qualls Corporation reported 2017 earnings per share of $7.21. In 2018, Qualls reported earnings per share as follows. On income from continuing operations On discontinued operations On net income $6.40 1.88 $8.28 Is the increase in earnings per share from $7.21 to $8.28 a favorable trend?
What is the 2017 profit margin on this accounting question?
Qualls Corporation reported 2017 earnings per share of $7.21. In 2018, Qualls reported earnings per share as follows. On income from continuing operations $6.40 On discontinued operations 1.88 On net income $8.28 Is the increase in earnings per share from $7.21 to $8.28 afavourable trend?
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