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Question - At December 31, 2020 Vaughn Manufacturing had 312000 shares of common stock and 9900 shares of 7%, $100 par value cumulative preferred stock outstanding. No dividends were declared on either the preferred or common stock in 2020 or 2021. On January 30, 2022, prior to the issuance of its financial statements for the year ended December 31, 2021, Vaughn declared a 100% stock dividend on its common stock. Net income for 2021 was $1134000. In its 2021 financial statements, compute the Vaughn's 2021 earnings per common share?
a. $3.43.
b. $3.63.
c. $1.71.
d. $1.81.
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