On January 1, 2020,Carla VistaLimited had shares outstanding as follows: 5% cumulative preferred shares, $100par value,10,700shares issued and outstanding$1,070,000. Common shares,204,000shares issued and outstanding2,040,000. To acquire the net assets of three smaller companies, the company authorized the issuance of an additional311,000common shares. The acquisitions were as follows:

Date of Acquisition Shares Issued

Company A: April 1, 2020 164,000

Company B: July 1, 2020 74,000

Company C: October 1, 2020 73,000

On May 14, 2020,Carla Vistarealized a $99,000gain (before tax) on a discontinued operation from a business segment that had originally been purchased in 2000. On December 31, 2020, the company recorded income of $693,000before tax, not including the discontinued operation gain.Carla Vistahas a30% tax rate.

a. Calculate the earnings per share for 2020 as it should be reported to shareholders.

b. Assume thatCarla Vistadeclared a1-for-2reverse stock split on February 10, 2021, and that the company's financial statements for the year ended December 31, 2020, were issued on February 28, 2021.

Calculate earnings per share for 2020 as it should be reported to shareholders.