EARNINGS PER SHARE

9 Months Ended

Feb. 29, 2020

11.	EARNINGS PER SHARE

Basic earnings per share is computed by dividing net income for the period by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net income for the period by the weighted‑average number of common shares outstanding during the period, plus the dilutive effect of outstanding restricted stock-based awards, stock options, and shares issuable under the employee stock purchase plan as applicable pursuant to the treasury stock method. The following table sets forth the computation of basic and diluted earnings per share:

	Three Months Ended				Nine Months Ended
(in millions, except per share data)	February 29, 2020		February 28, 2019		February 29, 2020		February 28, 2019
Net income	$	2,571	$	2,745	$	7,019	$	7,343
Weighted average common shares outstanding		3,190		3,526		3,251		3,716
Dilutive effect of employee stock plans		81		91		86		95
Dilutive weighted average common shares outstanding		3,271		3,617		3,337		3,811
Basic earnings per share	$	0.81	$	0.78	$	2.16	$	1.98
Diluted earnings per share	$	0.79	$	0.76	$	2.10	$	1.93
Shares subject to anti-dilutive restricted stock-based awards and stock options excluded from calculation⁽¹⁾		55		67		55		73

⁽¹⁾

These weighted shares relate to anti-dilutive restricted service based stock‑based awards and stock options as calculated using the treasury stock method and contingently issuable shares under performance‑based stock option (PSO) and performance‑based restricted stock unit award (PSU) arrangements. Such shares could be dilutive in the future.