On January 1, 2014, Vahsholtz Corporation purchased 5,000 shares of treasury stock. Other information regarding Vahsholtz Corporation is provided shown below.

Compute

(a) Return on common stockholders’ equity for each year

(b) Earnings per share for each year,

(c) Discuss the changes in each.

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2013 2014 Net income Dividends on preferred stock Dividends on common stock Weighted-average number of common shares outstanding Common stockholders' equity beginning of year Common stockholders' equity end of year $100,000 $30,000 $20,000 $110,000 $30,000 $25,000 $600,000 $750,000 $750,000 $830,000