E 36-3 Miming Corp. had the following capital structure during 2020 and 2021: Preference share capital, P100 par, 10% cumulative, 100,000 shares Ordinary share capital, P100 par, 400,000 shares P10,000,000 40,000,000 Miming reported profit of P8,000,000 for the year ended Dec. 31, 2021. Miming paid no preference share dividends during 2020 and paid P1,500,000 preference share dividends in 2021. On Jan. 31, 2022, prior to the date that the 2021 financial statements are authorized for issue, Miming distributed 10% ordinary share dividend. Required: Compute the basic EPS to be presented in Miming Corp.'s statement of profit or loss for the year ended Dec. 31, 2021.
E 36-3 Miming Corp. had the following capital structure during 2020 and 2021: Preference share capital, P100 par, 10% cumulative, 100,000 shares Ordinary share capital, P100 par, 400,000 shares P10,000,000 40,000,000 Miming reported profit of P8,000,000 for the year ended Dec. 31, 2021. Miming paid no preference share dividends during 2020 and paid P1,500,000 preference share dividends in 2021. On Jan. 31, 2022, prior to the date that the 2021 financial statements are authorized for issue, Miming distributed 10% ordinary share dividend. Required: Compute the basic EPS to be presented in Miming Corp.'s statement of profit or loss for the year ended Dec. 31, 2021.
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
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Problem 67E: Cash Dividends on Common and Preferred Stock Lemon Inc. has the following information regarding its...
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Transcribed Image Text:E 36-3 - Computation of basic EPS; with retrospe
Miming Corp. had the following capital structure during 2020 and
2021:
Preference share capital, P100 par,
10% cumulative, 100,000 shares
Ordinary share capital, P100 par,
400,000 shares
P10,000,000
40,000,000
Miming reported profit of P8,000,000 for the year ended Dec. 31,
2021. Miming paid no preference share dividends during 2020 and
paid P1,500,000 preference share dividends in 2021.
On Jan. 31, 2022, prior to the date that the 2021 financial statements
are authorized for issue, Miming distributed 10% ordinary share
dividend.
Required:
Compute the basic EPS to be presented in Miming Corp.'s statement of
profit or loss for the year ended Dec. 31, 2021.
E 36-4 - Computation of basic and diluted EPS;
convertible instruments
Kate Corp. had 200,000 ordinary shares, 20,000 convertible
preference shares, and P1,000,000 of
outstanding during 2021. The preference share is convertible into
40,000 ordinary shares. During 2021, Kate paid dividends of P1.20 per
share on ordinary shares and P4.00 per share on preference shares.
Each P1,000 bond is convertible into 45 ordinary shares if converted
before 2023 and 40 shares if converted after 2023. The profit for 2021
was P800,000 and the income tax rate was 25%.
10% convertible bonds
Required:
Compute the basic and diluted EPS to be presented in Kate Corp.'s
statement of profit or loss for the year ended Dec. 31, 2021.
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