Income Per Common Share

3 Months Ended

Mar. 31, 2020

Earnings Per Share [Abstract]

Income Per Common Share

Note 6: Income Per Common Share

Basic income per share is computed by dividing net income by the weighted-average number of common shares outstanding. Diluted earnings per share is computed by dividing net income by the weighted-average number of common shares and potential common shares outstanding. Potential common shares consist of dilutive stock options determined using the treasury stock method and the average market price of common stock.

The following table is a summary of the reconciliation of weighted average shares outstanding for the three months ended March 31:

	Three Months Ended March 31,
	2020		2019
Net income	$	1,521,131	$	1,689,264
Weighted average shares outstanding		5,530,256		5,514,413
Effect of dilutive shares		55,366		77,939
Weighted average shares outstanding - diluted		5,585,622		5,592,352
Earnings per share - basic	$	0.28	$	0.31
Earnings per share - diluted	$	0.27	$	0.30