1. Algarin Corporation had 2,000 shares of preferred stock with $40 par value and $50 market value. These 2,000 preferred shares are convertible into 4,000 shares of common stock, $14 par value. The market value of common stock is $20 per share. Record the conversion of preferred stock to common stock.

2. Calculate the Weighted average per share in order to correctly perform the EPS Calculation.

January 1, 2018 Shares outstanding 4,000,000

April 1, 2018 Shares issued 600,000

July 1, 2018 Treasury shares purchased 200,000