On January 1, 2011 TESLA . had 150,000 shares, On April 1, 2011 TESLA sold 45000 shares, on July 1,2011 TESLA makes a 2:1 stock split on Dec 1, 2011 TESLA distribute 0.11 stock dividend, Net income for 2011 was $2200000. The tax rate was 0.37. In addition, TESLA had the following equity securities on its books on December 31, 2011: a. 25,000 shares of $100 par, 0.13 cumulative preferred stock b. 40,000 shares of $100 par, 0.12 cumulative preferred stock, par $100, Each share of preferred stock is convertible into 14 shares of common stock.