Explore BrainMass

Explore BrainMass

    Compute the earnings per share

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    The High and Dry Boat Company has $120,000 of 15% bonds outstanding along with 2,000 shares of $2.50 (dividend) preferred stock and 3,000 shares of common stock. Assuming the firm has a 40% tax rate, compute the earnings per share (EPS) for the following levels of EBIT.

    © BrainMass Inc. brainmass.com June 3, 2020, 6:37 pm ad1c9bdddf
    https://brainmass.com/business/business-math/compute-earnings-share-68003

    Solution Summary

    The solution computes the earnings per share (EPS) for the given levels of EBIT.

    $2.19

    ADVERTISEMENT