Comparative Statements of Shareholders' Equity for Locke Intertechnology Corporation were reported as follows for the fiscal years ending December 31, 2019, 2020 and 2021. $10 par Retained Earnings $ 1,916 Total Shareholders Equity $2,586 610 102 $ LOCKE INTERTECHNOLOGY CORPORATION Statements of Shareholders' Equity For the Years Ended Dec. 31, 2019, 2020, and 2021 ($ in millions) Preferred Common Additional Stock, Stock Paid in $1 par Capital Balance at January 1, 2019 $ 80 590 Sale of preferred shares 10 600 Sale of common shares, 7/1 9 93 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2019 10 89 1,283 Retirement of common shares, 4/1 (4) (48) Cash dividend, preferred Cash dividend, common 3. for 2 split effected in the form of a common stock dividend, 8/12 42.5 (42.5) Net income Balance at December 31, 2020 10 127.5 1. 19215 10% common stock dividend, 5/1 12.75 100 Sale of common shares, 9/1 3 39 Cash dividend, preferred Cash dividend, common (4) (14) 430 2.328 (33) (14) 430 3,710 (85) (4) (18) (18) 530 ) 530 4,133 2.803 (112.75) 42 (2) (2) (41) 10 89 (4) 1,283 (48) (85) 2,328 (33) (4) (18) (18) 42.5 (42.5) 530 4,133 Balance at December 31, 2019 Retirement of common shares, 4/1 Cash dividend, preferred Cash dividend, common 3-for-2 split effected in the form of a common stock dividend, 8/12 Net income Balance at December 31, 2020 10% common stock dividend, 5/1 Sale of common shares, 9/1 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2621 10 530 2.803 (112.75) 127.5 12.75 3 1, 192.5 100 39 (2) (41) 450 $3,097.25 42 (2) (41) 450 $4,582 $10 $143.25 $1,331.5 Required: Infer from the statements the events and transactions that affected Locke Intertechnology Corporation's shareholders' equity and compute earnings per share as it would have appeared on the income statements for the years ended December 31, 2019, 2020, and 2021. No potential common shares were outstanding during any of the periods shown. (Enter your answers in millions rounded to 2 decimal places (ie., 5,500,000 should be entered as 5.50).) Year Numerator Denominator Earnings per share = 2019 2020 2021 1 1 10 (112.75) 12.75 3 100 39 Balance at December 31, 2020 10% common stock dividend, 5/1 Sale of common shares, 9/1 Cash dividend, preferred Cash dividend, common Net income Balance at December 31, 2021 (2) (41) 42 (2) (41) 450 $4,582 $10 $143.25 $1,331.5 $3,097.25 Required: Infer from the statements the events and transactions that affected Locke Intertechnology Corporation's shareholders' equity and compute earnings per share as it would have appeared on the income statements for the years ended December 31, 2019, 2020, and 2021. No potential common shares were outstanding during any of the periods shown. (Enter your answers in millions rounded to 2 decimal places (.e., 5,500,000 should be entered as 5.50).) Numerator Denominator Earnings per share Year 2019 2020 2021 1
