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Stella [2.4K]
2 years ago
6

Kasravi Co. had net income for 2011 of $300,000. The average number of shares outstanding for the period was 200,000 shares. The

average number of shares under outstanding options at an option price of $30 per share is 12,000 shares The average market price of the common stock during the year was $36. What should Kasravi Co. report for diluted earnings per share for the year ended 2011?
Business
1 answer:
yuradex [85]2 years ago
5 0

Answer:

$1.49 per share

Explanation:

The calculation of diluted earnings per share is given below:-

Diluted shares outstanding= $200,000 + 12,000 × ($36 - $30) ÷ 36

= $200,000 + 12,000 × 6 ÷ 36

= $200,000 + 2,000

= $202,000

Diluted earnings per share = Net income ÷ Diluted shares outstanding

= $300,000 ÷ $202,000

= $1.49 per share

Therefore for computing the diluted earnings per share we simply divide the net income by diluted shares outstanding.

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Your income is $75,000 per year. You cannot set up a ROTH IRA if you earn more than $95,000 per year. If your salary increases b
Alja [10]

Answer:

only one more year

Explanation:

Your income for the current year (year₀) = $75,000

Next year's income (year₁) = $75,000 x 1.2 = $90,000

Year 3's income (year₂)= $90,000 x 1.2 = $108,000

You will only be able to contribute to a ROTH account during the next year (year₁), since your income for year₂ will be higher than $95,000.

6 0
2 years ago
A country is closed. It has no government sector, and its aggregate price levels and interest rates are fixed. Furthermore, the
lutik1710 [3]

Answer:

The country has closed economy; it means there is no other trading relation with, outside countries. Export imports do not affect the economy of the country, and here is no government interference as mentioned in the question. This is a self sufficient country, its demand fulfilled from inside of the country. So its aggregate price levels and interest rate are fixed. MPC or the marginal propensity to consume indicates whether there is an increase in disposable income or increase in consumption. Here consumption increases equal to the increase in the income.

MPC = ΔC /ΔY which is constant here.

The increase in income in this country is mostly permanent and increases in a fix period of time and proportionately.

C= 200 +0.75 YD (YD is disposable income), Y=75, GDP =$900

The economy achieves it’s equilibrium level when supplies meets demand or the GDP is equals to it’s total expenditure. MPC is a fraction between 0 and 1 , MPC means a change in consumption brings the change in YD . here the MPC is equals to MPS which means the change in saving bring by the change in disposable income. All income here saved or consumed. So the change in income equals to the change in consumption or saving.

MPC+ MPS = 1

So the average propensity to consume is proportionate to income which is spend on consumption. APC= C/ YD. And the average proportionate to save is equals to income saved APS= S/YD . so here APC +APS = 1. The increase in production or price leads to the increase in the total value of output, that is the equilibrium condition.

Explanation:

3 0
2 years ago
In class, professor miller discussed the reason that the money spent on trade promotions was much higher than the money spent on
miv72 [106K]
The correct answer is D

<span>Consumer promotions negatively impact the value of the brand
</span>
<span><span> Research has traditionally posited that sales promotions erode <span>brand equity. There is traditionally high propensity between brand loyalty and demand, which is influenced </span></span>by  consumer promotions.

</span>
3 0
2 years ago
Elegance Inc. is a large cosmetics company that made an initial small investment in a start-up company, Peace Planet, which was
mr Goodwill [35]

Answer:

B. real-options perspective.

Explanation:

Based on the scenario being described within the question it can be said that this approach to strategic alliance is referred to as a real-options perspective. This perspective refers to the ability of an individual or company to have the freedom to choose between logical financial options in capital investments in order to try and make the best choices and decisions. Which is what Elegance Inc. did when they saw that the company they were supporting was most likely to fail due to their unforeseen problem.

7 0
2 years ago
Java Joe operates a chain of coffee shops. The company pays rent of $20,000 per year for each shop. Supplies (napkins, bags and
lukranit [14]

Answer:

The correct answer is Variable Cost.

Explanation:

According to the scenario, the rent and manager salary is fixed, so, it is under fixed cost.

Whereas, Cost of supplies ( i.e. napkins, bags and condiments) are variable according to the number of customer. As the number of customer increases, cost of supply also increases and as the number of customer decreases, cost of supply also decreases.

This type of cost is known as Variable cost,

Hence, The cost of supply is Variable cost in the given scenario.

7 0
2 years ago
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