Your company also has another 1,000 options outstanding and each can be exchanged for one share of common stock at an exercise price of $28. The average market value for each share was $25 throughout the year. Calculate the incremental number of shares that will be used for the December 31, 2019 diluted earnings per share calculation using the treasury stock method (ie how many shares will you post to the denominator in your calculation

Aggart technologies is considering issuing new common stock and using the proceeds to reduce its outstanding debt. the stock issue would have no effect on total assets, the interest rate taggart pays, ebit, or the tax rate. which of the following is likely to occur if the company goes ahead with the stock issue? a. the roa will decline. b. taxable income will decline. c. the tax bill will increase. d. net income will decrease. e. the times-interest-earned ratio will decrease