Mayan Company Had Net Income of $132,000

question 93

Multiple Choice

Mayan Company had net income of $132,000. The weighted-average common shares outstanding were 80,000.
-The company declared a $27,000 dividend on its noncumulative, nonparticipating preferred stock. There were no other stock transactions. The company's earnings per share is:

• A) $4.89.
• B) $1.31.
• C) $1.65.
• D) $1.99.
• E) $0.34.

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Definitions:

Liquidity Problems

Liquidity problems occur when an individual or business lacks sufficient liquid assets (like cash) to meet its short-term financial obligations.