For 2017, Stoneland Corporation reported:
| Net income | $24,000 |
| Net sales | $400,000 |
| Average shares outstanding | 6,000 |
There were no preferred stock dividends. How much was the 2017 earnings per share?
a. -$16.67
b. -$66.67
c. -$0.06
d. -$4
You are a shareholder in a C corporation. The corporation earns $2.12 per share before taxes. Once it has paid taxes, it will distribute the rest of its earnings to you as a dividend. Assume the corporate tax rate is 38% and the personal tax rate on (both dividend and non-dividend) income is 25%. How much is left for you after all taxes are paid?
The amount that remains is _____ per share. (Round to the nearest cent.)
Elite Trailer Parks has an operating profit of $275,000. Interest expense for the year was $37,900; preferred dividends paid were $29,100; and common dividends paid were $41,500. The tax was $67,700. The firm has 16,400 shares of common stock outstanding.
a. Calculate the earnings per share and the common dividends per share for Elite Trailer Parks.
b. What was the increase in retained earnings for the year?
At December 31, 2016 and 2015, G Co. had 50,000 shares of common stock and 5,000 shares of 5%, $100 par value cumulative preferred stock outstanding. No dividends were declared on either the preferred or common stock in 2016 or 2015. Net income for 2016 was $500,000. For 2016, basic earnings per common share amounted to:
a. $5.00
b. $9.50
c. $9.00
d. $10.00
