Convertible Preferred Stock, Convertible Bonds, and EPS Francis Company has 31,200 shares of common stock outstanding at the beginning of 2016. Francis issued 3,900 additional shares on May 1 and 2,600 additional shares on September 30. It also has two convertible securities outstanding at the end of 2016. These are: Convertible preferred stock: 3,250 shares of 9.0%, $50 par, preferred stock were issued on January 2, 2013, for $60 per share. Each share of preferred stock is convertible into 3 shares of common stock. Current dividends have been declared and paid. To date, no preferred stock has been converted. Convertible bonds: Bonds with a face value of $325000 and an interest rate of 5.0% were issued at par in 2015. Each $1000 bond is convertible into 25 shares of common stock. To date, no bonds have been converted. Francis earned net income of $79000 during 2016. The income tax rate is 30%. Required: 1. Compute the number of shares of common stock that Francis should use in calculating basic earnings per share for 2016. Weighted average shares outstanding: shares 2. Calculate basic earnings per share for 2016. If required, round your answer to two decimal places. Basic earnings per share: $ 3. Calculate diluted earnings per share for 2016 and the incremental EPS of the preferred stock and convertible bonds. If required, round your answers to two decimal places. Diluted earnings per share: $ Incremental earnings per share Bonds: $ Preferred: $ 4a. Assume the same facts as above except that net income included a loss from discontinued operations of $12000 net of income taxes. Compute basic EPS. You do not have to calculate diluted EPS for this case. If required, round your answer to two decimal places. Basic earning per share: $ 4b. Show how the basic EPS you calculated should be reported to shareholders. You do not have to calculate diluted EPS. Francis Company EPS Computations EPS Based on:

Daniel B Butler and Freida C. Butler, husband and wife, file a joint return. The butlers live at 625 Oak Street in Corbin, KY 40701. Dan’s Social Security number is 111‐11‐1112, and Freida’s is 123‐45‐6789. Dan was born on January 15, 1965, and Freida was born on August 20, 1966.

During 2016, Dan and Freida furnished over half of the total support of each of the following individuals, all of whom still live at home.

a) Gina, their daughter, age 22, a full‐time student, has no income of her own. Gina’s Social Security number is 123‐45‐6788.

b) Sam, their son, age 20, who had gross income of $6,300 in 2016. He graduated from high school in May 2016, Started College in August 2016, then dropped out of college in September 2016. Sam’s Social Security number is 123‐45‐6787.

c) Ben, their oldest son, age 26, is a full‐time graduate student with gross income of $5,200. Ben’s Social Security number is 123‐45‐6786.

Dan was employed as a manager by WJJJ, Inc. (employer identification number 11‐ 1111111, 604 Franklin street, Corbin, KY 40702), and Freida was employed as a salesperson for Corbin Realty, Inc. (employer identification number 98‐7654321, 899 Central Street, Corbin, KY 40701). Selected information from the W‐2 Forms provided by the employers is presented below. Dan and Freida use the cash method.

Line Description Dan   Freida

1 Wages, tips, other compensation   $74,000 $86,000

2 Federal income tax withheld 1,000 12,400

17 State income tax withheld 12,960 3,440

Freida sold a house on December 30, 2016, and will be paid a commission of $3,100 (not included in the $86,000 reported on the W‐2) on the January 10, 2017 closing date.

Before marrying Freida, Dan was married and divorced to Sarah. Under the divorce agreement, Dan is to pay Sarah $500 per month. Dan paid Sarah $5,500 in 2016, his December alimony payment was not made until January of 2017. Sarah’s Social Security number is 123‐45‐6785

The Butlers also had (1) $1,600 in interest income from their savings account, (2) they sold ABC stock on 8/15/2016 for $10,000 (originally purchased for $4,000 on 1/15/2013), and (3) they sold XYZ stock on 10/15/2016 for $3,000 (originally purchased for $4,000 on 12/15/2015).

Prepare the 2016 Federal income tax return for the Butlers’. You may work in groups no larger than 3 (i.e. 1, 2, or 3). Submit one tax return per group. Please submit (1) a cover page with a list of students who participated in the group project, (2) Form 1040, (3) calculation of Capital gain (including LT or ST), and (4) calculation of tax.

Hints:

1) Take the standard deduction

2) Don’t forget to check the box for the filing status

3) Review the rules as for what qualifies as a “student” for purposes of the Qualifying Child tests. See IRS publication 501 page 13.

4) Make sure you are not using 2017 information (i.e. personal exemptions, standard deduction, tax brackets etc.).

5) Normally interest and capital gains would require additional forms (Schedule B and Schedule D). However for this assignment do not prepare those forms/schedules, simply enter the appropriate amount directly onto form 1040.

If you were to have completed the experiment using the Tube Formation Assay technique, what would have been some of the expected results and what would have been some of the potential difficulties you might have encountered during the protocol?

In a gas forming experiment, we did not consider the volume of the reactants occupy in the baggie when we did our calculations for the reactant amounts. Will this oversight cause the pressure inside the bag after the reaction to be higher or lower than the atmospheric pressure in the lab?

In this experiment, the mass hanger is placed at an height of 50cm
from the ground holding a mass of 100g. When the hanger is released ,
it moves with a velocity of 1 m/s. Verify the principle of conservation of mechanical energy.
Mass of the disk= 991g radius of the disk=12.7cm

We have two set of data in which it gives me n1=40 , n2=40 , mean1= 8.379 ,mean2=5.691 , and st.devation1=1.630 ,st.devation2=1.591, the experiment is about the reaction speed between two persons.

calculate the curve of operation

What happens to the image if you cover half of the lens with an index card? Perform the experiment (be careful to cover the lens, not the object), and record your observation. Explain your observation. Explain your observation and draw ray diagrams to support your arguments.

Discuss about following:

1. what experiment Coulomb did to postulate Coulomb's law?

2. Write the similarities and differences between Newton's law of gravitation and Coulomb's law.

3. what technology you use today is based on coulomb's law.

Discuss how the statistical definitions of “probability,” “experiment,” “outcome,” and “event” differ from the way most people use these terms in everyday life.  How would most non-statisticians describe the probability of an event happening if the statistical likelihood of it occurring was .75?