Qusetion myers drugs inc has 2 million shares of stock, Ask an Expert

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Qusetion: Myers Drugs, Inc., has 2 million shares of stock outstanding. Earnings after taxes are $6 million. Myers also has warrants outstanding that allow the holder to buy 100,000 shares of stock at $15 per share. The stock is currently selling for $50 per share.

a. Compute basic earnings per share.

b. Compute diluted earnings per share considering the possible impact of the warrants.

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Category:- Basic Finance
Reference No.:- M92601245

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