1. The following information pertains to Ricochet Inc. for 2020.

   Jan. 1 Number of common shares issued and outstanding, 200,000

   Feb. 1 Number of new common shares issued, 8,000

   Dec. 31 Reported net income of $520,000

   A 100% stock dividend was declared on February 2, 2021, prior to the release of the 2020 financial statements.

   What is the companys Basic Earnings Per Share reported in its financial statements for the year ended December 31, 2020?

   	a.	$2.70
   	b.	$1.35
   	c.	$1.25
   	d.	$1.45