At December 31, 2021 and 2020, Cow Co. had 107,000 shares of common stock and 5,700 shares of 4%, $100 par value cumulative preferred stock outstanding. No dividends were declared on either the preferred or common stock in 2021 or 2020. Net income for 2021 was $570,000. For 2021, basic earnings per share was:

Multiple Choice

• $2.28

• $4.90

• $5.11

• $6.26

During 2021, Angel Corporation had 1,070,000 shares of common stock and 135,000 shares of 4% preferred stock outstanding. The preferred stock does not have cumulative or convertible features. Angel declared and paid cash dividends of $470,000 and $235,000 to common and preferred shareholders, respectively, during 2021. On January 1, 2020, Angel issued $2,170,000 of convertible 3% bonds at face value. Each $1,000 bond is convertible into five common shares. Angel's net income for the year ended December 31, 2021, was $8.55 million. The income tax rate is 25%. What is Angel's basic earnings per share for 2021, rounded to the nearest cent?

Multiple Choice

• $7.99.

• $8.21.

• $7.77.

• None of these answer choices are correct.

On January 1, 2021, Marguerite DeVille Co. granted restricted stock units (RSUs) representing 405,000 of its $1 par common shares to executives, subject to forfeiture if employment is terminated within three years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. The common shares had a market price of $15 per share on the grant date. At the date of grant, DeVille anticipated that 9% of the recipients would leave the firm prior to vesting. In 2022, 2% of the options are forfeited due to executive turnover. DeVille chooses the option not to estimate forfeitures. What amount should DeVille record as compensation expense for the year ended December 31, 2022, assuming DeVille chooses the option not to estimate forfeitures?

Multiple Choice

• $101,250.

• $182,250.

• $1,944,000.

• $2,025,000.

On January 1, 2021, Albacore Company had 310,000 shares of its common stock issued and outstanding. Albacore issued a 10% stock dividend on July 1, 2021. On October 1, 2021, Albacore retired 14,000 of its common shares. When calculating basic earnings per share for 2021, what is the appropriate number of shares for Albacore to use in the denominator of the EPS fraction?

Multiple Choice

• 325,400.

• 341,000.

• 344,500.

• 337,500.