19-17 EPS; stock vidend: onconvertible referred stock: sasury shares; ares sold; stock tions 019-5 through 019-8 CHAPTER 19 Share-Based Compensation and Earnings Per Share 1153 (Note: This is a variation of E 19-16, modified to include stock options.) On December 31, 2020, Berclair Inc. had 200 million shares of common stock and 3 million shares of 9%, $100 par value cumulative preferred stock issued and outstanding. On March 1. 2021. Berclair purchased 24 million shares of its common stock as treasury stock. Berclair issued a 5% common stock dividend on July 1.2021. Four million treasury shares were sold on October 1. Net income for the year ended December 31, 2021, was $150 million Also outstanding at December 31 were 30 million incentive stock options granted to key executives on S eptember 13, 2016. The options were exercisable as of September 13, 2020, for 30 million common shares al an exercise price of $56 per share. During 2021, the market price of the common shares averaged $70 per share. Required: Compute Berclair's basic and diluted earnings per share for the year ended December 31, 2021