American Health Systems currently has 5,700,000 shares of stock outstanding and will report earnings of $15 million in the current year. The company is considering the issuance of 1,900,000 additional shares that will net $40 per share to the corporation. Required:
a. What is the immediate dilution potential for this new stock issue?
b. Assume that American Health Systems can earn 6 percent on the proceeds of the stock issue in time to include them in the current year’s results. Calculate earnings per share.
c. Should the new issue be undertaken based on earnings per share?

Quick calculate the roi dollar amount and percentage for these example investments. a. you invest $50 in a government bond that says you can redeem it a year later for $55. use the instructions in lesson 3 to calculate the roi dollar amount and percentage. (3.0 points) tip: subtract the initial investment from the total return to get the roi dollar amount. then divide the roi dollar amount by the initial investment, and multiply that number by 100 to get the percentage. b. you invest $200 in stocks and sell them one year later for $230. use the instructions in lesson 3 to calculate the roi dollar amount and percentage. (3.0 points) tip: subtract the initial investment from the total return to get the roi dollar amount. then divide the roi dollar amount by the initial investment, and multiply that number by 100 to get the percentage.