BEPS options: increase, decrease, no effect

DEPS options: greater, lower, equal

At the beginning of Year 1, Mike Co. had 100,000 shares of $1 par-value common stock outstanding. Mike's Year 1 net income before the effects of the independent transactions described below was $350,000. For each transaction, select from the option lists provided the appropriate effect, if any, on Mike's Year 1 basic earnings per share (BEPS). For the diluted earnings per share (DEPS), indicate whether it is lower, greater, or equal to the BEPS amount in Year 1. Each choice may be used once, more than once, or not at all. Do not leave any box empty; all the boxes must be filled. Assume that Mike is required to report both BEPS and DEPS