Pearson eText Intermediate Accounting -- Instant Access (Pearson+)
3rd Edition
ISBN: 9780136946649
Author: Elizabeth Gordon, Jana Raedy
Publisher: PEARSON+
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Chapter 20, Problem 20.12E
a.
To determine
The value of basic and diluted earnings per share of the company.
b.
To determine
To prepare: The earnings per share disclosure on the income statement beginning with income of continuous operations.
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Students have asked these similar questions
Some selected financial statement items belonging to PXR Company are
given in the table below. According to this information, which of the
following is Return on Assets (ROA) in 2021?
Receivables
18,500
Total Assets
120,000
Current Liabilities
42,000
Shareholders' Equity
85,00
Net Profit
18,000
Select one:
a. 0.18
O b. 0.15
O c. 0.11
O d. The correct answer not available
O e. 0.21
INFORMATION
The Statement of Comprehensive Income and simplified extract of the Statement of Changes in
Equity for AAA Ltd are provided below:
STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER:
Sales
2022
2021
R
16 200 000
R
14 400 000
(7 020 000)
(6 120 000)
Cost of sales
Gross profit
Other operating income
Distribution expenses
Administrative expenses
Operating profit
Finance income
Finance expenses
Profit before tax
Company tax
Profit after tax
9 180 000
540 000
(5 400 000)
?
2 160 000
19 800
(15660)
8 280 000
504 000
(4 860 000)
?
1944 000
9 720
(31 680)
2 164 140
1922 040
(649 242)
(576 612)
1 514 898
1 345 428
STATEMENT OF CHANGES IN EQUITY FOR THE YEAR ENDED 31 DECEMBER 2022
Balance on 31 December 2021
Profit for the year
Dividends
Balance on 31 December 2022
ADDITIONAL INFORMATION
1. Depreciation for the year amounted to:
• Year 2022: R720 000
Year 2021: R1 080 000.
2. Company tax is calculated as a percentage of the pre-tax profit.
R
5 220 000
1 514 898
(684…
Use the information provided to answer the questions that follows below:
Extract of Statement of Changes in Equity for the year ended 31 December 2020
Retained
earnings
R
Balance on 01 January 2020
1500 000
Profit after tax
480 000
Dividends paid and proposed in 2020
(180 000)
Balance on 31 December 2020
1 800 000
INFORMATION
The information provided below was extracted from the accounting records of Harmony Limited on 31 December 2020:
Harmony Limited
Extract of Statement of Comprehensive Income for the year ended 31 December 2020
Sales
6 600 000
Cost of sales
(3 900 000)
Gross profit
2 700 000
Operating expenses
(1710 000)
Selling and administrative expenses
1 260 000
Depreciation
450 000
Operating profit
990 000
Interest expense
(270 000)
Profit before tax
720 000
Company tax
(240 000)
Profit after tax
480 000
Chapter 20 Solutions
Pearson eText Intermediate Accounting -- Instant Access (Pearson+)
Ch. 20 - Prob. 20.1QCh. 20 - Prob. 20.2QCh. 20 - If-Converted Method. Does the if-converted...Ch. 20 - Diluted EPS. If all potentially dilutive...Ch. 20 - Diluted EPS. Can diluted earnings per share on...Ch. 20 - Diluted EPS, Convertible Debt, and Preferred...Ch. 20 - Prob. 20.7QCh. 20 - Prob. 20.8QCh. 20 - Prob. 20.9QCh. 20 - EPS Disclosures. is an entity required to present...
Ch. 20 - Prob. 20.11QCh. 20 - Hutchins Company had 200,000 shares of common...Ch. 20 - Prob. 20.2MCCh. 20 - Prob. 20.3MCCh. 20 - Prob. 20.4MCCh. 20 - Refer to the information about Hutchins Company in...Ch. 20 - Prob. 20.6MCCh. 20 - Prob. 20.1BECh. 20 - Prob. 20.2BECh. 20 - Computing Income for Basic EPS. Russo Watches, Ltd...Ch. 20 - Prob. 20.4BECh. 20 - Compute Weighted-Average Number of Shares...Ch. 20 - Compute Weighted-Average Number of Shares...Ch. 20 - Prob. 20.7BECh. 20 - Prob. 20.8BECh. 20 - Prob. 20.9BECh. 20 - Prob. 20.10BECh. 20 - Prob. 20.11BECh. 20 - Computing Basic and Diluted EPS, Options. Nicks...Ch. 20 - Computing Diluted EPS, Convertible Debt. Axelon...Ch. 20 - Computing Basic and Diluted EPS, Preferred Stock....Ch. 20 - Computing Weighted-Average Number of Common Shares...Ch. 20 - Prob. 20.3ECh. 20 - Computing Basic and Diluted EPS, Convertible...Ch. 20 - Prob. 20.5ECh. 20 - Computing Basic and Diluted EPS, Convertible Bonds...Ch. 20 - Computing Basic and Diluted EPS, Convertible Bonds...Ch. 20 - Computing Basic and Diluted EPS, Convertible...Ch. 20 - Computing Basic and Diluted EPS, Options,...Ch. 20 - Computing Basic and Diluted EPS, Convertible...Ch. 20 - Computing Basic and Diluted EPS, Convertible...Ch. 20 - Prob. 20.12ECh. 20 - Prob. 20.1PCh. 20 - Prob. 20.2PCh. 20 - Computing Basic and Diluted EPS. Convertible...Ch. 20 - Prob. 20.4PCh. 20 - Computing Basic and Diluted EPS, Convertible...Ch. 20 - Computing Basic and Diluted EPS, Convertible...Ch. 20 - Prob. 20.7PCh. 20 - Prob. 20.8PCh. 20 - Prob. 1JCCh. 20 - Prob. 1FSCCh. 20 - Prob. 1SSCCh. 20 - Basis for Conclusions Case 1: Antidilutive...Ch. 20 - Basis for Conclusions Case 2: Treasury Stock...
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