Solved

Parnaby Has 25,000 Common Stock Shares Outstanding and Its 100%-Owned

Question 20

Multiple Choice

Parnaby has 25,000 common stock shares outstanding and its 100%-owned subsidiary Sandal has 5,000 common stock shares outstanding.Parnaby and Sandal do not have any potentially dilutive securities outstanding.The separate net incomes for Parnaby and Sandal are $150,000 and $75,000,respectively.Diluted EPS for the consolidated company is


A) $5.00.
B) $6.00.
C) $7.50.
D) $9.00.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents