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March 29, 2015

Homework Help: Finance

Posted by sweety on Tuesday, May 31, 2011 at 3:06pm.

calculate of EPS and retained earning:
year ended2009 with a net profit before taxes of $218000. the company is subject to a 40% tax rate and must pay $32000 in preferred stock dividend before distributing any earning on the 85000 share of common stock currently outstanding.
1) calculate 2009 earning per share
2) if the firm paid common stock dividend of $0.80 per share, how many dollars would go to retained earning?

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