Sundry Inc. reported the following information in its consolidated statement of earnings for the fiscal year ended January $31.$

Net earnings $$7,710$ million

Basic earnings per share $$5\mathrm{.}49$

Diluted earnings per share $$5\mathrm{.}46$

Required

a$.$ Estimate the average number of common shares outstanding for its fiscal year ended January $31.$

$$ Note: Round your answer to the nearest whole share $($in millions$).$

Answer

$1,404$

million shares.

b$.$ Does the company have a simple or a complex capital structure?

Answer

Complex

capital structure.

c$.$ If diluted weighted$-$average common shares were $1,414$ million, recompute diluted EPS.

Numerator $/$ Denominator $=$ Result

Answer

$7,720/1,414=5\mathrm{.}46$

$(1414*5\mathrm{.}46)$

d$.$ Based on part c$,$ what type$($s$)$ of dilutive securities would we assume the company reported in its $$nancial statements?

Stock plans Answer

Unable to determine

Convertible securities Answer

Unable to determine