Flagstad Inc. presented the following data.\nNet income $2,500,000\nPreferred stock: 50,000 shares outstanding,\n$100 par, 8% cumulative, not convertible
Flagstad Inc. presented the following data.
\r\nNet income $2,500,000
\r\nPreferred stock: 50,000 shares outstanding,
\r\n$100 par, 8% cumulative, not convertible 5,000,000
\r\nCommon stock: Shares outstanding 1/1 750,000
\r\nIssued for cash, 5/1 300,000
\r\nAcquired treasury stock for cash, 8/1 150,000
\r\n2-for-1 stock split, 10/1
\r\nInstructions
\r\nCompute earnings per share.