Hornet Motors reported $535,000 net income for the current year. Beginning common shares outstanding were 110,000. Hudson also had 10,000, 6% nonconvertible, cumulative, $100 par value preferred shares outstanding for the entire year. No cash dividends were declared but Hornet did declare and distribute a 10% stock dividend on common shares on July 1. Compute basic earnings per share. (Round your answer to the nearest cent.)

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The Answer of Hornet Motors reported $535,000 net income for the current year. Beginning common shares outstanding were 110,000. Hudson also had 10,000, 6% nonconvertible, cumulative, $100 par value preferred shares outstanding for the entire year. No cash dividends were declared but Hornet did declare and distribute a 10% stock dividend on common shares on July 1. Compute basic earnings per share. (Round your answer to the nearest cent.)

Hornet Motors Reported $535,000 Net Income for the Current Year