Assume a company provided the following information:

Earnings per share	$ 0.70
Number of common shares outstanding, beginning of the year	45,000
Number of common shares outstanding, end of the year	55,000
Price-earnings ratio	12.50
Dividend yield ratio	0.50

The net income is closest to:

Multiple Choice

• $35,000.

• $40,000.

• $71,429.

• $85,429.