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Just need denominator for Dow's diluted Check my work 3 On December 31, 2017, Dow Steel Corporation had 760,000 shares of common stock and 46,000

Just need denominator for Dow's diluted

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Check my work 3 On December 31, 2017, Dow Steel Corporation had 760,000 shares of common stock and 46,000 shares of 8%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock dividend on May 15 and paid cash dividends of $560,000 and $85,000 to common and preferred shareholders, respectively, on December 15, 2018. 10 points On February 28, 2018, Dow sold 63,000 common shares. In keeping with its long-term share repurchase plan, 4,000 shares were retired on July 1. Dow's net income for the year ended December 31, 2018, was $2,900,000. The income tax rate is 40%. eBook As part of an incentive compensation plan, Dow granted incentive stock options to division managers at December 31 of the current Print and each of the previous two years. Each option permits its holder to buy one share of common stock at an exercise price equal to market value at the date of grant and can be exercised one year from that date. Information concerning the number of options granted References and common share prices follows: Date Granted Options Granted December 31, 2016 (adjusted for the stock dividend) Share Price 23, 000 December 31, 2017 18 , 000 $ 38 47 December 31, 2018 21, 500 46 The market price of the common stock averaged $46 per share during 2018. Required: Compute Dow's earnings per share for the year ended December 31, 2018. (Enter your answers in thousands.) Numerator 1 Denominator = Earnings per share Dow's basic 2,815 843 $ 3.34 Dow's diluted $ 2,815 0

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