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1.Coronado Industries had 94000 shares of treasury stock ($10 par value) at December 31, 2020, which it acquired at $12 per share. On June 4, 2021, Coronado issued 39100 treasury shares to employees who exercised options under Coronado's employee stock option plan. The market value per share was $14 at December 31, 2020, $16 at June 4, 2021, and $19 at December 31, 2021. The stock options had been granted for $13 per share. The cost method is used. What is the balance of the treasury stock on Coronado's balance sheet at December 31, 2021?

a

$508300.

b

$273700.

c

$391000.

d

$469200

2. Bonita Industries purchased Sandhill Co. and agreed to give stockholders of Sandhill Co. 10000 additional shares in 2023 if Sandhill Co.s net income in 2022 is $510000; in 2021 Sandhill Co.s net income is $530000. Bonita Industries has net income for 2021 of $443000 and has an average number of common shares outstanding for 2021 of 98000 shares. What should Bonita report as diluted earnings per share for 2021?

a

$3.77

b

$4.10

c

$5.20

d

$4.52

3.At December 31, 2020, Swifty Corporation had 1160000 shares of common stock outstanding. In addition, Swifty had 447000 shares of preferred stock which were convertible into 755000 shares of common stock. During 2021, Swifty paid $1270000 cash dividends on the common stock and $810000 cash dividends on the preferred stock. Net income for 2021 was $6820000 and the income tax rate was 40%. The diluted earnings per share for 2021 is (rounded to the nearest penny)

a

$2.50.

b

$5.21.

c

$5.87.

d

$3.56.

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