单选题
A company had the following changes in its stock: The company had 2 million shares outstanding on December 31,2006. On March 31,2007, the company paid a 10% stock dividend. On June 30,2007, the company sold $10 million face value of 7% convertible debentures, convertible into common at $ 5 per share. On September 30,2007, the company issued and sold 100000 shares of common stock. The company should compute its 2007 basic earnings per share based on.
【正确答案】
A
【答案解析】Basic EPS does not consider the convertible bonds.
Original shares=2000000×12=24000000
+Stock dividend=200000×12=2400000
+New shares=100000×3=300000