1 answer

Murray Company reports net income of $770,000 for the year. It has no preferred stock, and...

Question:

Murray Company reports net income of $770,000 for the year. It has no preferred stock, and its weighted-average common shares outstanding is 280,000 shares.

Compute its basic earnings per share.


Answers

Meaning: Earnings per share (EPS) is used to determine the common shareholder’s portion of the company’s profit. EPS measures each common share’s profit allocation in relation to the company’s total profit.

Formula: Basic earning per share (BEPS) = (Net income available to shareholders) / (Weighted average number of shares outstanding)

Calculations: BEPS = 770,000/280,000= $2.75 share

Conclusion:BEPS shows how much of the company’s earnings are attributable to each common share. Higher the EPS, the more profitable the company is considered and more profits are available for distribution to its shareholders.

.

Similar Solved Questions

1 answer
A $1,000 par bond with a 4% semi-annual coupon has 10 years to maturity trades at...
A $1,000 par bond with a 4% semi-annual coupon has 10 years to maturity trades at a yield of 6%. What would be it’s price? A. $851.23 B. $922.58 C. $1,148.77 D. $541.20...
1 answer
Find the rectangular coordinates of (1,0) = ( - 15, 140°)
Find the rectangular coordinates of (1,0) = ( - 15, 140°)...
1 answer
Why did Stalin sign an agreement with Fascist Germany, once a bitter enemy?
Why did Stalin sign an agreement with Fascist Germany, once a bitter enemy?...
1 answer
Assignment Three Emotional Intelligence /10 Using either the Emotional Intelligence Assessment provided in the content area...
Assignment Three Emotional Intelligence /10 Using either the Emotional Intelligence Assessment provided in the content area and the-"DO EQ" card deck please reflect and respond to the following: 1. Identify one or two areas of strength for you in terms of Emotional Intelligence 2. Describe h...
1 answer
Et5BN> 970 1 12 CENGAGE I MINDTAP lasses of mik and 20 glasses of juice per week. The following g...
et5BN> 970 1 12 CENGAGE I MINDTAP lasses of mik and 20 glasses of juice per week. The following graphs show her marginal utility arves for milk and juce. At her current consumption 12 -=- -0 20 30 40 60 eo 102030405000 8 JUICE (Glasses) ° Type here to search CENGAGE | MINDTAP k (Ch 21) O No; ...
1 answer
I NEED A MATHEMATICAL ALGORITHM FOR A CEASER CHYPER I CREATED. PLEASE HELP ME...THANK YOU! THE...
I NEED A MATHEMATICAL ALGORITHM FOR A CEASER CHYPER I CREATED. PLEASE HELP ME...THANK YOU! THE SINGLE-DIGIT KEY IS 14 THE PHRASE IS "GOOD MORNING PROFESSOR" THE CYPHER IS UCCR ACFBWBU DFCTSGGCF I DON'T KNOW HOW TO CREATE THE ALGORITHM AND IT CANNOT BE COMPUTER GENERATED. a. Develop a Cae...
1 answer
Assume that o1 02 a. Sample 1: 80, 80, 79, 81, 76, 66, 71, 76, 70,...
Assume that o1 02 a. Sample 1: 80, 80, 79, 81, 76, 66, 71, 76, 70, 85. Sample 2: 79, 62, 70, 68, 73. 76, 86, 73, 72, 68, 75, 66. Construct a 95% confidence interval for -42 4....
1 answer
Which of the following would be considered liquidity or short-term solvency ratios? quick ratio; cash ratio....
Which of the following would be considered liquidity or short-term solvency ratios? quick ratio; cash ratio. quick ratio; times interest earned ratio (TIE). current ratio; long-term debt ratio. current ratio; inventory turnover ratio;...
1 answer
What current flows through a 2.07 cm diameter rod of pure silicon that is 24.0 cm...
What current flows through a 2.07 cm diameter rod of pure silicon that is 24.0 cm long, when 1000 V is applied to it? (Such a rod may be used to make nuclear particle detectors, for example.) The resistivity of pure silicon is 2.30 103 Ω · m....
1 answer
Exercise 5-14 Break-Even and Target Profit Analysis [LO5-3, LO5-4, LO5-5, LO5-6] Lindon Company is the exclusive...
Exercise 5-14 Break-Even and Target Profit Analysis [LO5-3, LO5-4, LO5-5, LO5-6] Lindon Company is the exclusive distributor for an automotive product that sells for $24.00 per unit and has a CM ratio of 30%. The company's fixed expenses are $118,800 per year. The company plans to sell 18,100 un...
1 answer
A major purpose of the prospectus is to: list the security's dividend payment dates. advise investors...
A major purpose of the prospectus is to: list the security's dividend payment dates. advise investors of the security's potential risks. distribute stock warrants to prospective investors. inform investors of the security's rate of return....
3 answers
I have to make analogys for my vocab words and i need help apex:peak;________:__________ Assimilate:_____;_______:_________ interim:interval;_____:_______ and also for Meander,metropolis,momentous,obstrepous,pensive perilou'shoddy,surly,and tirade
i have to make analogys for my vocab words and i need helpapex:peak;________:__________Assimilate:_____;_______:_________interim:interval;_____:_______and also for Meander,metropolis,momentous,obstrepous,pensive perilou'shoddy,surly,and tirade...
1 answer
Which sumpton, if exhibited by a patient recieving insulin therapy warrants the nurse's immediate attention? &...
which sumpton, if exhibited by a patient recieving insulin therapy warrants the nurse's immediate attention? & Blurry vision @ Lethargy and protuse sweating ③ Urinary Frequency ② thirst and constant hunger & Alter removing a vial of NPH insulin from the refridgerator, the nur...
1 answer
5. (2 points) Circle a solvent combination that can be used in extraction. а) ЕОНІН,0 WEtboH2O...
5. (2 points) Circle a solvent combination that can be used in extraction. а) ЕОНІН,0 WEtboH2O (c) CH3COCH3/Н,0 CH3COCH3/ЕОН...
2 answers
Need help with part d 5. 4/5 points || Previous Answers | SERPSE10 10.3.OP.010.MI. A wheel...
need help with part d 5. 4/5 points || Previous Answers | SERPSE10 10.3.OP.010.MI. A wheel 2.40 m in diameter lies in a vertical plane and rotates about its central axis with a constant angular acceleration of 4.25 rad/s. The wheel starts at rest at t = 0, and the radius vector of a certain point P ...
1 answer
Because of a manufacturing error, 3 cans of regular soda were accidentally filled with diet soda...
Because of a manufacturing error, 3 cans of regular soda were accidentally filled with diet soda and placed into a 24-pack. Suppose that two cans are randomly selected from the 24-pack. Determine the probability that at least one contain regular soda....
1 answer
Represent the following strategic interactions using payoff matrix/matrices: Three players are playing the following game: Each...
Represent the following strategic interactions using payoff matrix/matrices: Three players are playing the following game: Each of them will put a penny (1 cent in the US) down simultaneously, each choosing between head and tail. If players 1's and 2's penny are on the same side (i.e., both ...