v3.5.0.1
EARNINGS PER SHARE
 12 Months Ended
May 31, 2016
Earnings Per Share [Abstract]  
EARNINGS PER SHARE

17. 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 using the treasury stock method. The following table sets forth the computation of basic and diluted earnings per share:

 

 

 

Year Ended May 31,

(in millions, except per share data)

 

2016

 

2015

 

2014

Net income

 

$

8,901

 

$

9,938

 

$

10,955

Weighted average common shares outstanding

 

 

4,221

 

 

4,404

 

 

4,528

Dilutive effect of employee stock plans

 

 

 84

 

 

99

 

 

76

Dilutive weighted average common shares outstanding

 

 

4,305

 

 

4,503

 

 

4,604

Basic earnings per share

 

$

2.11

 

$

2.26

 

$

2.42

Diluted earnings per share

 

$

2.07

 

$

2.21

 

$

2.38

Shares subject to anti-dilutive restricted stock-based awards and stock options

 

 

 

 

 

 

 

 

 

   excluded from calculation(1)

 

 

63

 

 

37

 

 

76

__________

(1) 

 

These weighted shares relate to anti-dilutive restricted stock-based awards and stock options as calculated using the treasury stock method and could be dilutive in the future. See Note 14 for information regarding the exercise prices of our outstanding, unexercised options.