What will Angel report as diluted earnings per share for 2009, rounded to the nearest cent?
A)$6.43
B)$6.25
C)$6.22
D)None of these is correct.* (2,000,000 5%) = $100,000 in interest; $100,000 20% = $20,000 in tax savings So, after-tax interest cost = $80,000.**Because, this increases EPS, it is anti-dilutive.Only $6.50 basic EPS will be reported.

Question

Quizplus · Accepted Answer

The question states that the after-tax interest cost is anti-dilutive and that only the basic EPS of $6.50 will be reported. Therefore, none of the answer choices provided are correct.

What Will Angel Report as Diluted Earnings Per Share for 2009