Questions -

1. A company's net income is $100,000, and its weighted-average shares outstanding are 20,000. During the year, the company issues 5,000 ESOs at an exercise price of $20.
What will be the diluted EPS if average stock price during the year is $35 and treasury shares that can be purchased are 1,000?

2. Beginning and ending plant assets are $325,000 and $370,000 respectively. Beginning and ending accumulated depreciation are $82,800 and $95,000 respectively. Depreciation expense for the period was $30,000, and new assets of $76,000 were purchased. Plant assets were sold at a $10,500 loss. What were the cash proceeds from the sale?

3. Beginning and ending prepaid insurance is $36,000 and $26,500 respectively. During the period, $30,500 of insurance expense was recorded. How much new insurance was purchased?