granted
4,000,000
$1
par common shares
forfeiture within 3 years
market price
$15
per share
total compensation cost
60,000,000
$
effect on earnings
20,000,000
$
decrease
granted
5,400,000
$1
par common shares
forfeiture within 4 years
market price
$4
per share
total compensation cost
21,600,000
$
effect on earnings
5,400,000
$
decrease
Net income
$1,012,000,000
common shares
448,000,000
outstanding Jan 1
24,000,000
sold Feb 28
repurchase plan
12,000,000
retired April 30
$29 per share
earnings per share
2.20
$
Net income
$3,180,000,000
common shares
584,000,000
outstanding Jan 1
24,000,000
sold Feb 28
repurchase plan
6,000,000
retired April 30
$43 per share
earnings per share
5.30
$
December 31, 2023 and 2024
1,360,000,000
common stock
22,000,000
preferred stock
4%
$100
par
No dividends in 2023 and 2024
Net income (2024)
$3,488,000,000
Income tax rate
25%
earnings per share
2.50
$
Dividends
88,000,000
$
December 31, 2023 and 2024
1,200,000,000
common stock
18,000,000
preferred stock
6%
$100
par
No dividends in 2023 and 2024
Net income (2024)
$2,628,000,000
Income tax rate
25%
earnings per share
2.10
$
Dividends
108,000,000
$
520,000
common stock shares on Jan 1
140,000
issued convertible preferred stock on Jan 1
280,000
preferred convertible of common stock
$84,000
cash dividends-preferred stock
$760,000
Net income
basic EPS
1.30
$
diluted EPS
0.95
$
860,000
common stock shares on Jan 1
480,000
issued convertible preferred stock on Jan 1
960,000
preferred convertible of common stock
$288,000
cash dividends-preferred stock
$4,330,000
Net income
basic EPS
4.70
$
diluted EPS
2.38
$
Number of shares
Weighted average
unvested at May 31, 2019
116,644
$21.74
granted
55,156
$34.23
1,887,990
$
471,997
$
vested
(49,350)
$17.32
forfeited
(16,667)
$25.67
unvested at May 31, 2020
105,783
$29.10
Number of shares
Weighted average
unvested at May 31, 2019
113,844
$21.46
granted
53,764
$30.95
1,663,996
$
415,999
$
vested
(47,950)
$17.04
forfeited
(15,267)
$25.39
unvested at May 31, 2020
104,391
$27.70
paid-in capital-restricted stock
compensation expense
471,997
$
paid-in capital-restricted stock
compensation expense
415,999
$
4-year vesting period
4-year vesting period
854,742
$
Common Stock
4,935
$
Paid-in capital-excess of par
849,807
$
817,068
$
Common Stock
4,795
$
Paid-in capital-excess of par
812,273
$
1-Jan-24
acquire
17,000,000
$1
par common shares
5
years
exercise price
$34.50
per share
fair value
$8
per option
no forfeitures anticipated
ignore taxes
1. determine total compensation cost
2. record award of options on Jan 1, 2024
3. record compensation exp on Dec 31, 2024
4. record compensation exp on Dec 31, 2025
1-Jan-24
acquire
18,000,000
$1
par common shares
5
years
exercise price
$31.00
per share
fair value
$7
per option
no forfeitures anticipated
ignore taxes
1. determine total compensation cost
2. record award of options on Jan 1, 2024
3. record compensation exp on Dec 31, 2024
4. record compensation exp on Dec 31, 2025
Dec 31, 2025 vesting date
1
total compensation cost
136,000,000
$
2
No journal entry
3
Compensation expense
Paid-in capital-stock options
4
Compensation expense
Paid-in capital-stock options
Dec 31, 2025 vesting date
1
total compensation cost
126,000,000
$
2
No journal entry
3
Compensation expense
Paid-in capital-stock options
4
Compensation expense
Paid-in capital-stock options
68,000,000
$
68,000,000
$
68,000,000
$
68,000,000
$
63,000,000
$
63,000,000
$
63,000,000
$
63,000,000
$
permit holders acquire
21,000,000
$1
par common shares
market price
$16
per share
fair value
$4.20
per option
1. Determine total compensation cost
2. record compensation exp on Dec 31, 2024
3. record compensation exp on Dec 31, 2025
4. record compensation exp on Dec 31, 2026
5. record the exercise of options market price $17/share
permit holders acquire
9,000,000
$1
par common shares
market price
$27
per share
fair value
$7.50
per option
1. Determine total compensation cost
2. record compensation exp on Dec 31, 2024
3. record compensation exp on Dec 31, 2025
4. record compensation exp on Dec 31, 2026
5. record the exercise of options market price $28/share
$14
within 6 years before Jan 1, 2027
1
total compensation cost
2
Compensation expense
3
Compensation expense
4
Compensation expense
5
Cash
Paid-in capital-stock options
$25
within 6 years before Jan 1, 2027
1
total compensation cost
2
Compensation expense
3
Compensation expense
4
Compensation expense
5
Cash
Paid-in capital-stock options
88,200,000
$
29,400,000
$
Paid-in capital-stock options
29,400,000
$
29,400,000
$
Paid-in capital-stock options
29,400,000
$
29,400,000
$
Paid-in capital-stock options
29,400,000
$
294,000,000
$
88,200,000
$
Common stock
21,000,000
$
Paid-in capital-excess of par
361,200,000
$
67,500,000
$
22,500,000
$
Paid-in capital-stock options
22,500,000
$
22,500,000
$
Paid-in capital-stock options
22,500,000
$
22,500,000
$
Paid-in capital-stock options
22,500,000
$
225,000,000
$
67,500,000
$
Common stock
9,000,000
$
Paid-in capital-excess of par
283,500,000
$
31-Dec-23
550,000,000
shares
18,000,000
shares
6%
$100
30-Apr-24
purchased
50,000,000
treasury stock
31-Aug-24
sold
20,000,000
treasury stock
12-Jun-24
4%
issued
no cash dividends
31-Dec-24
($135,000,000)
net loss
($390,000,000)
after-tax loss from discontinued operations
108,000,000
$
Preferred dividends
$255,000,000
operating income
$440,000,000
net income (no discontinued operations)
550,000,000
weighted-average of common shares
0.77
$
earnings per share
31-Dec-23
640,000,000
shares
27,000,000
shares
7%
$100
30-Apr-24
purchased
30,000,000
treasury stock
31-Aug-24
sold
12,000,000
treasury stock
12-Jun-24
5%
issued
no cash dividends
31-Dec-24
($175,000,000)
net loss
($470,000,000)
after-tax loss from discontinued operations
189,000,000
$
Preferred dividends
$295,000,000
operating income
$440,000,000
net income (no discontinued operations)
550,000,000
weighted-average of common shares
0.76
$
earnings per share
par value
nonconvertible preferred stock sold Jan 2, 2024
1
2
3
par value
nonconvertible preferred stock sold Jan 2, 2024
1
2
3
numerator
/
denominator
=
($243,000,000)
/
544,000,000
=
$147,000,000
/
544,000,000
=
2024
2023
earnings (loss) per common share
income from continuing operations
0.27
$
0.77
$
loss from discontinuing operations
(0.72)
$
net income (loss)
(0.45)
$
0.77
$
numerator
/
denominator
=
($364,000,000)
/
655,000,000
=
$106,000,000
/
655,000,000
=
2024
2023
earnings (loss) per common share
income from continuing operations
0.16
$
0.76
$
loss from discontinuing operations
(0.72)
$
net income (loss)
(0.56)
$
0.76
$
Ainsworth, Inc
2024 and 2023 comparative income statement
Ainsworth, Inc
2024 and 2023 comparative income statement
net loss/share
(0.45)
$
income(loss) from continuing operations
0.27
$
net loss/share
(0.56)
$
income(loss) from continuing operations
0.16
$
greater percentage of its earning
GPS corporation
dividend payout ratio for Tru, Inc.
remaining relatively the same
price-earnings ratio for GPS Corporation
remaining relatively the same
Price-earnings ratio for Tru, Inc
Generally increasing
greater percentage of its earning
GPS corporation
dividend payout ratio for Tru, Inc.
remaining relatively the same
price-earnings ratio for GPS Corporation
remaining relatively the same
Price-earnings ratio for Tru, Inc
Generally increasing
