Company P’s net profit for the year is $38.5 million and it has the following shares outstanding: Ordinary shares - 2
Posted: Wed Apr 06, 2022 9:11 am
Company P’s net profit for the year is $38.5 million and it has
the following shares outstanding:
Ordinary shares
- 2,125,000 weighted average shares outstanding
- Dividend payout ratio of 75%
Preference shares
- 52,000 preference shares outstanding
- Dividend of $45 per share
- Convertible into ordinary shares at a ratio of 20:1
Based on this information, the diluted earnings per share (EPS) for
the year for Company P is closest to:
A. 9.1
B. 12.2
C. 17.0
the following shares outstanding:
Ordinary shares
- 2,125,000 weighted average shares outstanding
- Dividend payout ratio of 75%
Preference shares
- 52,000 preference shares outstanding
- Dividend of $45 per share
- Convertible into ordinary shares at a ratio of 20:1
Based on this information, the diluted earnings per share (EPS) for
the year for Company P is closest to:
A. 9.1
B. 12.2
C. 17.0