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Compute Earnings Per Share | Accounting homework help

The Bedford Corporation reported the following income statement and balance sheet amount and additional information for the end of the current year.

End of current year End of Prior year
Net sales revenue (all credit) $1220,000
Cost of goods sold $725,000
Gross profit $495,000
Selling/general expenses $280,000
Internal expense $280,000
Net income $173,000
Current assets $113,000 $82,000
Long term assets $512000 $440,000
Total assets $625,000 $522,000
Current liabilities $57,000 $52000
Long term liabilities $275,000 $245,000
Common stockholders equity $293000 $225,000
Tot Liabilities and stockholders equity $625000 $522,000

Inventory and prepaid expenses account for 30,000 of the current year’s assets.

The average inventory for the current year is $36,250.

The average net account receivable for the current year is $45,000,

There are 35,000 shares of common stock outstanding.

Total dividends paid during the current year were $17,000.

The market price per share of common stock is $20.

What is the earnings per share for the current year?

A) $5.12

B) $11.86

C) $4.94

D) $4.05

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