11 Problem 19-19 E PS; options; restricted stock; additional components for "proceeds in treasury 9tBeR method [LO19-1, 19-2, 19-4, 19-8, 19-11] Witter House is a calendar year firm with 410 miltion common shares outstanding throughout 2018 and 2019. As part of its executive n, at January 1, 2017, the company had issued 50 milion executive stock options permitting executives to buy 50 eBook million shares of stock for $15 within the next on the grant date to be $3 per option. it years, but not prior to January 1.2020. The fair value of the options was estimated Ask In 2018, Witter House began granting employee granted 25 million restricted common shares to senior executives at January 1 the stock was $20 per respectively es stock awards rather than stock options as part of its equity compensation plans and , 2018 The shares vest four years later. The fair value of Referencest share on the grant date. The average price of the common shares was $20 and $25 during 2018 and 2019, plan The restricted stock does not. The company's net income was $260 The stock options qualify for tax purposes as an incentive million and $270 milhon in 2018 and 2019, respectively its income tax rate is 40% Required: 1. Compute basic and diluted earnings per share for Witter House in 2018 2. Compute basic and diluted earnings per share for Witter House in 2019 dluted earnings per share for Witter House in 2018 (For all requirements, do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places (i.e.. 10,000,000 should be entered as 10.00).) The stock options qualify for tax purposes as an incentive plan. The restricted stock does not. The company's net income was $260 million and S270 million in 2018 and 2019, respectively lts "come tax rate is 40%. Required: 1. Compute basic and diluted earnings per share for Witter House in 2018. 2. Compute basic and diluted earnings per share for Witter House in 2019. Bock Ask Print ences (For all requirements, do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places (i.e. 10,000,000 should be entered as 10.00)) Numerator Denominator Earnings per share 1Basic Dluted 2. Basic Diluted KPrev 11 of 16 Next>