Question - Earnings Per Share
The stockholders' equity section of Udokah Corporation appears below as of December 31, 2012.
8% cumulative preferred stock, $10 par value, authorized
100,000 shares, outstanding 90,000 shares $ 900,000,
Common stock, $0.20 par, authorized and issued 10 million shares 2,000,000, Additional paid-in capital 4,100,000, Retained earnings $26,800,000, Net income 6,600,000 = 33,400,000, $40,400,000.
Net income for 2012 reflects a total effective tax rate of 34%. Included in the net income figure is a loss of $3,600,000 (before tax) as a result of a major casualty.
Instructions: Compute earnings per share data as it should appear on the income statement of Udokah Corp.