The Diluent Corp. maintained in circulation during 2020 the following values: 200,000 common shares ($ 2,000,000 of legal capital), 10,000 cumulative preferred shares, 8% ($ 500,000 of legal capital), and two exchangeable bond issues: 1) $ 1,000,000 to 10 %, exchangeable at the rate of 40 common shares per bond (each bond is worth $ 1,000), 2) 3,000,000 at 8%, exchangeable for 16 shares each (each \ $ 3, bond is worth $ 1,000). In addition, during 2020, Dilujador granted a stock option plan to an executive, through which he can acquire 20,000 common shares at $ 25 / share. The market value at the end of the year of these shares is $ 35 / share. The net income for 2020 was $ 800,000 and the tax rate was 30%. In addition, on December 30, 2020, a 20% stock dividend was issued. There are no accumulated dividends (in arrears) on preferred shares.