As part of its executive compensation plan, Vertovec Inc. granted 54,000 of its no par common shares to executives, subject to forfeiture if employment is terminated within three years. Vertovec’s common shares havea market price of $5 per share on January 1, 2017, the grant date of the restricted stock award, as well as onDecember 31, 2018. 800,000 shares were outstanding at January 1, 2018. Net income for 2018 was $120,000.Required:Compute Vertovec’s basic and diluted earnings per share for the year ended December 31, 2018
As part of its executive compensation plan, Vertovec Inc. granted 54,000 of its no par common shares to executives, subject to forfeiture if employment is terminated within three years. Vertovec’s common shares havea market price of $5 per share on January 1, 2017, the grant date of the restricted stock award, as well as onDecember 31, 2018. 800,000 shares were outstanding at January 1, 2018. Net income for 2018 was $120,000.Required:Compute Vertovec’s basic and diluted earnings per share for the year ended December 31, 2018
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter16: Retained Earnings And Earnings Per Share
Section: Chapter Questions
Problem 23E
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As part of its executive compensation plan, Vertovec Inc. granted 54,000 of its no par common shares to executives, subject to forfeiture if employment is terminated within three years. Vertovec’s common shares have
a market price of $5 per share on January 1, 2017, the grant date of the restricted stock award, as well as on
December 31, 2018. 800,000 shares were outstanding at January 1, 2018. Net income for 2018 was $120,000.
Required:
Compute Vertovec’s basic and diluted earnings per share for the year ended December 31, 2018
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