At December 31, 2011, the financial statements of Hollingsworth Industries included the following:

Net income for 2011 ...................... $560 million

Bonds payable, 10%, convertible into 36 million shares of common stock. $300 million

Common stock:

Shares outstanding on January 1.................. 400 million

Treasury shares purchased for cash on September 1 ............ 30 million

Additional data:

The bonds payable were issued at par in 2009. The tax rate for 2011 was 40%.

Required:

Compute basic and diluted EPS for the year ended December 31, 2011.