Ramirez Company is completing the information processing cycle at its fiscal year-end on December 31. Following are the correct balances at December 31 for the accounts both before and after the adjusting entries.
Trial Balance, December 31 of the Current Year
Items
Before
Adjusting Entries
Debit Credit
After
Adjusting Entries
Debit Credit
a.Cash
$ 14,600
$ 14,600
b.Accounts receivable
500
c. Prepaid insurance
720
480
d. Equipment
169,280
169,280
e. Accumulated depreciation, equipment
$ 40,900
$ 45,800
f. Income taxes payable
1,470
g. Common stock and additional paid-in
capital
109,000
109,000
h. Retained earnings, January 1
15,180
15,180
i. Service revenue
74,200
74,700
j.Salary expense
54,680
54,680
k. Depreciation expense
4,900
l. Insurance expense
240
m. Income tax expense
1,470
$ 239,280 $ 239,280 $ 246,150 $ 246,150
3. Compute earnings per share, assuming that 2,100 shares of stock are outstanding all year. (Round your answer to 2 decimal places.)
Earnings per share