During 2016,Quattro entered into the following transactions relating to shareholders' equity.The corporation was authorized to issue 20 million common shares,$1 par per share.
Net income for 2016 was $110 million.
Jan.2: Issued 10 million common shares for cash.
Jan.3 Entered an agreement with the company president to issue up to 2 million additional shares of common stock in 2016 based on the earnings of Quattro in 2016.If net income exceeds $100 million,the president will receive 1 million shares;2 million shares if net income exceeds $120 million.
Required:
Compute basic and diluted EPS for 2016.

Question

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The Answer of During 2016,Quattro entered into the following transactions relating to shareholders' equity.The corporation was authorized to issue 20 million common shares,$1 par per share.
Net income for 2016 was $110 million.
Jan.2: Issued 10 million common shares for cash.
Jan.3 Entered an agreement with the company president to issue up to 2 million additional shares of common stock in 2016 based on the earnings of Quattro in 2016.If net income exceeds $100 million,the president will receive 1 million shares;2 million shares if net income exceeds $120 million.
Required:
Compute basic and diluted EPS for 2016.

During 2016,Quattro Entered into the Following Transactions Relating to Shareholders