The comparative statements of Lucille Company are presented here.
LUCILLE COMPANY
Income Statements
For the Years Ended December 31
First number are 2012
2012 then 2011
Net sales
$1,890,540
$1,750,500
Cost of goods sold
1,058,540
1,006,000
Gross profit
832,000
744,500
Selling and administrative expenses
500,000
479,000
Income from operations
332,000
265,500
Other expenses and losses
Interest expense
22,000
20,000
Income before income taxes
310,000
245,500
Income tax expense
92,000
73,000
Net income
$ 218,000
$ 172,500
LUCILLE COMPANY
Balance Sheets
December 31
Assets
2012
2011
Current assets
Cash
$ 60,100
$ 64,200
Short-term investments
74,000
50,000
Accounts receivable
117,800
102,800
Inventory
126,000
115,500
Total current assets
377,900
332,500
Plant assets (net)
649,000
520,300
Total assets
$1,026,900
$852,800
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable
$ 160,000
$145,400
Income taxes payable
43,500
42,000
Total current liabilities
203,500
187,400
Bonds payable
220,000
200,000
Total liabilities
423,500
387,400
Stockholders’ equity
Common stock ($5 par)
290,000
300,000
Retained earnings
313,400
165,400
Total stockholders’ equity
603,400
465,400
Total liabilities and stockholders’ equity
$1,026,900
$852,800
All sales were on account. Net cash provided by operating activities for 2012 was $220,000. Capital expenditures were $136,000, and cash dividends were $70,000.
I need earnings per share please explain how you got to it I've tried so many times can't get it right
To calculate earnings per share (EPS), you need to divide the net income by the total number of outstanding shares of the company's common stock. However, the number of outstanding shares is not provided in the financial statements you provided.
To estimate the number of outstanding shares, you can use the following formula:
Estimated number of outstanding shares = Net Income / Estimated EPS
In this case, we can calculate the estimated EPS by dividing the net income by the average market price per share. Unfortunately, the average market price per share is not provided in the given information. So, we won't be able to calculate the exact EPS.
If you have the number of outstanding shares or the average market price per share, I can help you calculate the EPS using that information.