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Calculating EPS with Restricted Stock StarStruck Inc. granted 1,250 shares of restricted stock (common shares, $1 par) to its president on January 1, 2020, when

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Calculating EPS with Restricted Stock StarStruck Inc. granted 1,250 shares of restricted stock (common shares, $1 par) to its president on January 1, 2020, when the stock was trading at $40 per share. Net income for 2020 was $600,000 and 100,000 shares were outstanding throughout 2020. On average, the fair value of common shares in 2020 was $40 per share. The restricted shares vest after 3 years if the president remains with the company. Required a. Compute basic EPS. b. Compute diluted EPS. Note: Round weighted average common shares outstanding to the nearest whole number. Note: Round earnings per share amount to two decimal places. Per Share Net Income Available to Weighted Avg. Common Common Stockholders Shares Outstanding Basic EPS $ Diluted EPS $

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