On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances:

Accounts	Debit			Credit
Cash	$	42,700
Accounts Receivable		44,500
Supplies		7,500
Equipment		64,000
Accumulated Depreciation				$	9,000
Accounts Payable					14,600
Common Stock, $1 par value					10,000
Additional Paid-in Capital					80,000
Retained Earnings					45,100
Totals	$	158,700		$	158,700

During January 2021, the following transactions occur:

January		2		Issue an additional 2,000 shares of $1 par value common stock for $40,000.
January		9		Provide services to customers on account, $14,300.
January		10		Purchase additional supplies on account, $4,900.
January		12		Purchase 1,000 shares of treasury stock for $18 per share.
January		15		Pay cash on accounts payable, $16,500.
January		21		Provide services to customers for cash, $49,100.
January		22		Receive cash on accounts receivable, $16,600.
January		29		Declare a cash dividend of $0.30 per share to all shares outstanding on January 29. The dividend is payable on February 15. (Hint: Grand Finale Fireworks had 10,000 shares outstanding on January 1, 2021, and dividends are not paid on treasury stock.)
January		30		Resell 600 shares of treasury stock for $20 per share.
January		31		Pay cash for salaries during January, $42,000.

1. Calculate the return on equity for the month of January.

2. If the average return on equity for the industry for January is 2.5%, is the company more or less profitable than other companies in the same industry?

3. How many shares of common stock are outstanding as of January 31, 2021?

4. Calculate earnings per share for the month of January.

5. If earnings per share were $3.60 last year (i.e., an average of $0.30 per month), is earnings per share for January 2021 better or worse than last years average?