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Weighted average common shares

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The comparative statements of Villa Tool Company are presented below.
VILLA TOOL COMPANY
Income Statement
For the Year Ended December 31

2009 2008
Net sales $1,818,500 $1,750,500
Cost of goods sold 1,011,500
996,000

Gross profit 807,000 754,500
Selling and administrative expense 516,000
479,000

Income from operations 291,000 275,500
Other expenses and losses
Interest expense 18,000
14,000

Income before income taxes 273,000 261,500
Income tax expense 81,000
77,000

Net income $ 192,000
$ 184,500

VILLA TOOL COMPANY
Balance Sheets
December 31

Assets 2009 2008
Current assets
Cash $ 60,100 $ 64,200
Short-term investments 69,000 50,000
Accounts receivable (net) 117,800 102,800
Inventory 123,000
115,500

Total current assets 369,900
332,500

Plant assets (net) 600,300
520,300

Total assets $970,200
$852,800

Liabilities and Stockholders' Equity
Current liabilities
Accounts payable $160,000 $145,400
Income taxes payable 43,500
42,000

Total current liabilities 203,500
187,400

Bonds payable 200,000
200,000

Total liabilities 403,500
387,400

Stockholders' equity
Common stock ($5 par) 280,000 300,000
Retained earnings 286,700
165,400

Total stockholders' equity 566,700
465,400

Total liabilities and stockholders' equity $970,200
$852,800

All sales were on account. The allowance for doubtful accounts was $3,200 on December 31, 2009, and $3,000 on December 31, 2008.

Compute the following ratios for 2009. (Weighted average common shares in 2009 were 57,000.) (a) Earnings per share. (b) Return on common stockholders' equity. (c) Return on assets. (d) Current. (e) Acid-test. (f) Receivables turnover. (g) Inventory turnover. (h) Times interest earned. (i) Asset turnover. (j) Debt to total assets. (Round earnings per share, current ratio and acid-test ratio to 2 decimal places, e.g. 10.50. Round all other answers to 1 decimal place, e.g. 10.5.)

(a) Earnings per share $
(b) Return on common stockholders; equity %
(c) Return on assets %
(d) Current :1
(e) Acid-test :1
(f) Receivables turnover times
(g) Inventory turnover times
(h) Times interest earned times
(i) Asset turnover times
(j) Debt to total assets %

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Weighted average common shares are computed.

$2.19
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Weighted average common shares outstanding, basic, diluted EPS

I am having problems with calculating the weighted average common shares outstanding.

I'm also having trouble with what to do with the cumulative convertible stock and the stock options. I know that there should be a formula for this but I can't find it anywhere.

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18. For the year ended December 31, 2008, Oliver Company should report interest revenue from the McGee Co. bonds of:
A) $42,392.
B) $41,409.
C) $41,368.
D) $40,000.

Use the following to answer questions 19-20:
Assume that the following data relative to Eddy Company for 2007 is available:
Net Income $2,100,000

Transactions in Common Shares
Jan. 1, 2007, Beginning number 700,000
Mar. 1, 2007, Purchase of treasury shares (60,000)
June 1, 2007, Stock split 2-1 640,000
Nov. 1, 2007, Issuance of shares 120,000

8% Cumulative Convertible Preferred Stock
Sold at par, convertible into 200,000 shares of common $1,000,000

Stock Options
Exercisable at the option price of $25 per share. Average market price in 2007, $30 ... 60,000 shares

19. What is the basic earnings per share for 2007. (Round to two decimals places.)
20. What is the diluted earnings per share for 2007. (Round to two decimals places.)

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