Shamrock Company Had Net Income of $30,000

question 147

Multiple Choice

Shamrock Company had net income of $30,000.On January 1,there were 8,000 shares of common stock outstanding.On April 1,the company issued an additional 2,000 shares of common stock.There were no other stock transactions.The company has earnings per share of:

• A)$3.75
• B)$3.00
• C)$3.33
• D)$15.00
• E)$3.16

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Definitions:

Profit-Sharing Plans

A company-wide program that provides employees with a share in the company's profits, usually in the form of a bonus or retirement benefit.

Unions

Organizations formed by workers to collectively negotiate with employers regarding wages, working conditions, and other employment rights and benefits.

Merit Pay

A compensation strategy that rewards employees based on their performance, often used as an incentive for higher productivity and job satisfaction.

Public Sector

The part of the economy composed of both public services and public enterprises, managed and financed by the government.