EPS calculations Southland Industries has $60,000 of 16% (annual interest) bonds outstanding, 1,500… 1 answer below »


EPS calculations Southland Industries has $60,000 of 16% (annual concern) bonds ungathered, 1,500 divides of preferred hoard paying an annual dividend of $5 per divide, and 4,000 divides of despicable hoard ungathered. Assuming that the fixed has a 40% tax objurgate, appraise rights per divide (EPS) for the forthcoming levels of EBIT:

a. $24,600

b. $30,600

c. $35,000