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    Earnings per share

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    Calculate earnings per share for the following:

    Net income $ 500,000
    Interest expense $ 50,000
    Preferred Dividends paid $ 75,000
    Common Dividends paid $ 100,000
    Preferred shares outstanding $ 50,000
    Common shares outstanding $ 100,000

    Please explain

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    https://brainmass.com/business/accounting/calculating-earnings-share-example-problem-310756

    Solution Preview

    Earnings per share is calculated on common shares and is the income available on each common ...

    Solution Summary

    The solution explains how to calculate earnings per share.

    $2.19

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