Business, 06.04.2021 01:00, Fortnitenerd2238
Effect of Financing on Earnings Per Share BSF Co., which produces and sells skiing equipment, is financed as follows: Bonds payable, 8% (issued at face amount) $7,500,000 Preferred 2% stock, $10 par 7,500,000 Common stock, $50 par 7,500,000 Income tax is estimated at 40% of income. Round your answers to the nearest cent. a. Determine the earnings per share of common stock, assuming that the income before bond interest and income tax is $1,000,000. $fill in the blank 1 per share b. Determine the earnings per share of common stock, assuming that the income before bond interest and income tax is $3,000,000. $fill in the blank 2 per share c. Determine the earnings per share of common stock, assuming that the income before bond interest and income tax is $4,500,000. $fill in the blank 3 per share
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