A Company Reports the Following in Relation to Its Latest

question 17

Multiple Choice

A company reports the following in relation to its latest financial year:
$$\begin{array} { l r } \text { Net profit } & \$ 12000 \\\text { Number of ordinary shares issued } & 5000 \\\text { Number of preference shares issued } & \\\text { (paying an annual dividend of } 50 \text { cents per share) } & 500\end{array}$$
The company's basic earnings per share figure is:

• A) $2.00
• B) $2.20
• C) $2.10
• D) $2.35