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17. (5 points) On 01-01-19, H had 2,604,000 shares of common stock outstanding. The following common stock-related transactions occurred during 2019: On March 1,
17. (5 points) On 01-01-19, H had 2,604,000 shares of common stock outstanding. The following common stock-related transactions occurred during 2019: On March 1, H issued 240,000 shares of its common stock. . On June 30, H declared and distributed a 10% stock dividend. . On October 31, H bought back 120,000 shares of its common stock. On December 1, H issued 96,000 shares of its treasury stock. Throughout 2019, H had 500,000 shares of 6%, $10 par value convertible preferred stock issued outstanding. Each share of preferred stock can be converted into 2 shares of B's common stock. H's net income for 2019 was $44,600,000. During 2019 H declared and paid $300,000 of dividends on its preferred stock and $752,000 of dividends on its common stock. H's income tax rate is 20%. As of 12-31-19, H had $25,000,000 of 5%, 10-year convertible bonds outstanding. H issued the bonds at par during 2015. The bonds can be converted into 500,000 shares of H's common stock. As of 12-31-19, H had $75,000,000 of 8%, 15-year convertible bonds. H issued the bonds at par during 2010. The bonds can be converted into 1,200,000 shares of H's common stock. During the entire year ending 12-31-19, H had 1,500,000 outstanding and exercisable employee stock options that were granted to employees during 2015. Each option has an exercise price of $30 per share of H common stock. During 2019, the average market price of H's common stock was $45 per share. During the entire year ending 12-31-19, H had 900,000 outstanding and exercisable employee stock options that were granted to employees during 2017. Each option has an exercise price of $50 per share of H common stock. What will H report as basic EPS for the year ended 12-31-19? ROUND TO NEAREST PENNY. What will H report as diluted EPS for the year ended 12-31-19? ROUND TO NEAREST PENNY.
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