1. On January 1, 2020, Meyers Corporation had 1,000,000 common shares authorized and 300,000 common shares issued and outstanding.

The following common stock activity occurred during 2020:

May 1 Issued 70,000 shares

June 1 Declared a 2-for-1 stock split

October 1 Purchased 100,000 of its own outstanding shares and placed them in treasury

December 1 Issued 50,000 shares

The Board of Directors declared common stock dividends of $0.30 per share for all common shares outstanding on December 15, 2020. Meyers reported a net income of $525,200.

Instructions

1. Compute the weighted average number of shares to be used in computing basic earnings per share for 2020.

2. Compute basic earnings per share for 2020.

3. Compute the dividends declared and paid in 2020.