E14 17 Compute earnings per share under different assumptions At December 31, 2017, Millwood Corporation has 2,000 shares of $100 par value, 8% preferred stock outstanding and 100,000 shares of $10 par value common stock issued. Millwood's net income for the year is $241,000. Instructions Compute the earnings per share of common stock under the following independent situations (Round to two decimals). (a) The dividend to preferred stockholders was declared. There has been no change in the number of shares of common stock outstanding during the year. (b) The dividend to preferred stockholders was not declared. The preferred stock is cumulative. Millwood held 10,000 shares of common treasury stock throughout the year. NOTE: Enter a number in cells requesting a value; enter either a number or a formula in cells with a "?". (a) Preferred shares outstanding Par Value Preferred dividend rate Total preferred dividends Value Value Value Value Value Net income Less: total preferred dividends Income available to common stockholders Number of common shares outstanding Earnings per share Value (b) Preferred shares outstanding Par Value Preferred dividend rate Total preferred dividends Value Value Value Value Value Net income Less: total preferred dividends Income available to common stockholders Number of common shares outstanding Earnings per share Value