Oracle Corporation reported the following earnings per share information in its 2016 Form 10-K. The company has only one class of stock outstanding. ($ in millions)

Net income

$8,901

Dividends to common shareholders

$2,541

Weighted average common shares outstanding

4,221

Weighted average dilutive shares

4,305


Basic and diluted earnings per share were, respectively:

Select one:

A. $0.30 and $0.30

B. $0.77 and $0.74

C. $1.08 and $1.06

D. $2.11 and $2.07

E. None of the above

Respuesta :

Answer:

d. 2.11 and 2.07

Explanation:

  • Basic EPS = Net Income - Preference Dividend / Weighted Average common shares outsanding

= 8.901 / 4.221

= 2.10874

=2.11 aproximately

  • Diluted EPS = Net Income Attributable to common shares holders /Weighted Average dilutive shares

= 8.901 / 4.305

= 2,0675

= 2,7 approximately