Consider the following explanation
(1) - Net income is available to common stockholders for 2013
Net income is available to common stockholders = Reported Net Income – Preferred Dividend
= $2,700,000 - 388,020
= $ 2,311,980
(2) - Company’s Basic EPS for 2013
Basic Earnings Per Share [EPS] = Net income is available to common stockholders / weighted-average shares of common stock
= $ 2,311,980 / 678,000 Shares
= $3.41 per share
The net income available to common stockholders is $2,311,980
The basic EPS is $3.41 per share.
The net income available to common stockholders is the amount of net income that is left after deducting the preferred dividends from the net income for the year. Thus, net income available to common stockholders is,
Net Income available to common stockholders = Net Income - Preferred stock dividends
Net Income available to common stockholders = 2700000 - 388020
Net Income available to common stockholders = $2,311,980
The basic EPS or basic earnings per share is the amount of earning or net income that a company has earned on each of its common stock/share. The basic EPS is calculated as follows,
Basic EPS = Net Income available to common stockholders / Weighted average number of common shares outstanding
Basic EPS = 2311980 / 678000
Basic EPS = $3.41 per share
Why do you think it is important to do what is right even when no one is looking
It's important because if you were to get used to doing "something wrong", you might as well go into the habit until you get caught. Besides, it's best to do the right thing.
: qrs industries opens its fiscal year with a $500 balance in its prepaid insurance account. qrs purchases $2,500 in insurance policies during the year. if $875 of insurance has expired during the year, what is the year-end balance in the prepaid insurance account after all necessary entries have been made?
The answer is 1,428.57143
How would you present training material in a manner that facilitates retention?
: A covenant not to compete Group of answer choices
a. is usurious.
b. protects the public from unauthorized practitioners of certain professions.
c. is a promise to refrain from competing in business with another.
d. protects the public against actions that threaten the general welfare.
Q2: Air Flo, Inc., and Banyan Grove Apartments enter into an oral contract in which Air Flo agrees to provide air-conditioning and heating maintenance for Banyan Grove’s facilities for two years. This contract is enforceable by
Group of answer choices
a. Air Flo.
b. Banyan Grove.
c. any third party, such as a HVAC supplies provider.
d. none of the choices.
1. c. is a promise to refrain from competing in business with another.
2. d. none of the choices.
Question 1: T
he Covenant not to compete represents a clause in contract law. It is usually referred to as the non-compete clause or the NCC. The essence of the clause is for a party to the contract to agree not to go into a trade, profession or business that is similar or in competition with the other party in the contract. This is usually taken between an employee (who agrees not to compete) with his/her employer.
Based on the explanation the Answer is C
Two things are involved in this contract. First, the contract is an oral agreement and secondly the performance of the agreement is to take place for more than a year (2 years). As such neither party or a third party can enforce the contract.