$($Stock dividends$)$ In the spring of$2016,$ the CFO of HTPL Distributing Company decided to distribute a stock dividend to its shareholders.$$ Specifically, the CFO proposed that the company pay $0\mathrm{.}05$ shares of stock to the holders of each share of common stock such that the holder of$1,000$ shares of stock would receive an additional $50$ shares of common stock.

a$.$ If the firm had total net income for the year of $$12,000,000$ and had $24,000,000$ shares of common stock outstanding before the stock$$ dividend, what was the$$ firm's earnings per$$ share?

b$.$ After paying the stock$$ dividend, what was the$$ firm's earnings per$$ share?

c$.$ If you owned$1,000$ shares of stock before the stock$$ dividend, how many dollars of earnings did the firm earn from your$1,000-$share investment? After the stock dividend was$$ paid, how many dollars of earnings did the firm earn on your larger share$$ holdings? What effect would you expect from the payment of the stock dividend on your total investment in the$$ firm?