Edmond Biometrics Reported Net Income of $200,000 for Both Last

question 28

Multiple Choice

Edmond Biometrics reported net income of $200,000 for both last year and the current year. The shares outstanding for the prior year were 100,000 shares for the whole year. On December 1 of the current year, Edmond declared a two for one stock split. There were no other stock transactions in either year. Compute the EPS that would be shown on a comparative income statement for Years 1 and 2. (Round your answer to the nearest cent.)

• A) Year 1 $2.00; Year 2 $1.00
• B) Year 1 $1.00; Year 2 $1.00
• C) Year 1 $2.00; Year 2 $1.33
• D) Year 1 $2.00; Year 2 $0.80