TRI began the year, 2021 with 132,000 shares of common stock and 30,000 shares of 7%, $100 par value, cumulative, nonconvertible preferred stock. On March 1 it declared a 10% stock dividend on common shares. On September 30, it purchased 20,000 common shares and cancelled them. On October 1, TRI declared a 2-for-one stock split. Operating income for the year was $911,000 and no dividends for 2021 were declared. Compute the weighted average number of common shares and the basic EPS for the year.     Select one: a. 250,400 shares and $2.80. b. 140,200 shares and $1.57 c. 280,400 shares and $2.50. d. 280,400 shares and $3.25. e. None of the above.

Excel Applications for Accounting Principles
4th Edition
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Gaylord N. Smith
Chapter13: Earnings Per Share (eps)
Section: Chapter Questions
Problem 1R: Ponce Towers, Inc., had 50,000 shares of common stock and 10,000 shares of 100 par value, 8%...
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 TRI began the year, 2021 with 132,000 shares of common stock and 30,000 shares of 7%, $100 par value, cumulative, nonconvertible preferred stock. On March 1 it declared a 10% stock dividend on common shares. On September 30, it purchased 20,000 common shares and cancelled them. On October 1, TRI declared a 2-for-one stock split. Operating income for the year was $911,000 and no dividends for 2021 were declared. Compute the weighted average number of common shares and the basic EPS for the year.

 

 

Select one:
a.
250,400 shares and $2.80.
b.
140,200 shares and $1.57
c.
280,400 shares and $2.50.
d.
280,400 shares and $3.25.
e.
None of the above.
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