World Airlines has no preferred stock outstanding. The company had 50,000 shares of common stock outstanding on January 1 and issued 20,000 additional shares on April 1.
If World's net income was $359,000, the company should report earnings per share of (to the nearest cent)
A) $4.27
B) $4.60
C) $5.52
D) $5.98
E) None of the above

Question

Quizplus · Accepted Answer

The Answer of World Airlines has no preferred stock outstanding. The company had 50,000 shares of common stock outstanding on January 1 and issued 20,000 additional shares on April 1.
If World's net income was $359,000, the company should report earnings per share of (to the nearest cent)
A) $4.27
B) $4.60
C) $5.52
D) $5.98
E) None of the above

World Airlines Has No Preferred Stock Outstanding