year ended December 31, 2021. (Note: This is a variation of P 19-11, modified to include stock options.) On December 31, 2020, Dow Steel Corporation had 600,000 shares of common stock and 300,000 shares ertible of 8%, noncumulative, nonconvertible preferred stock issued and outstanding. Dow issued a 4% common stock stock: dividend on May 15 and paid cash dividends of $400,000 and $75,000 to common and preferred shareholders, chares; respectively, on December 15, 2021. -Id; stock On February 28, 2021, Dow sold 60,000 common shares. In keeping with its long-term share repurchase plan, options 2,000 shares were retired on July 1. Dow's net income for the year ended December 31, 2021, was $2,100,000. through The income tax rate is 25%. LO19-10 As part of an incentive compensation plan, Dow granted incentive stock options to division managers at December 31 of the current and each of the previous two years. Each option permits its holder to buy one share of common stock at an exercise price equal to market value at the date of grant and can be exercised one year from that date. Information concerning the number of options granted and common share prices follows: Date Granted Share Price December 31, 2019 December 31, 2020 December 31, 2021 Options Granted (adjusted for the stock dividend) 8,000 3,000 6,500 $24 $33 $32 The market price of the common stock averaged $32 per share during 2021. required. Compute Dows eps for the year ended December 31,2021