Paul Corporation reported net income of $260,000 during the current calendar year. The company had 10,000 common shares outstanding on January 1 and sold an additional 6,000 shares on July 1. What is the company’s basic EPS?
|EPS = Net income / Weighted average no of shares outstanding|
|= $260,000 / 13,000|
|= $20 per share|
|Calculation of weighted average number of shares outstanding|
|Amount ($)||Fraction||Weightages||Weighted average|
|of Year||number of shares|
Get Answers For Free
Most questions answered within 1 hours.