Consolidated basic and diluted EPS
The following information is available regarding Put Corporation and its 80 percent owned subsidiary, San Corporation, at and for the year ended December 31, 2011:
|
Put |
San |
|
|
Outstanding common stock |
8,000 shares |
5,000 shares |
|
Warrants to purchase 1,000 shares of San common stock |
||
|
at $9 per share (average market price is $15) |
1,000 warrants |
|
|
Net income (includes income from San) |
$20,000 |
$18,000 |
|
Income from San ($14,400 $2,400 amortization of |
||
|
excess cost over book value acquired) |
$12,000 |
REQUIRED: Determine consolidated earnings per share (both basic and diluted).