Applewood Electronics ltd reported net earnings of $ 500 000 for the year ending December 31,2019. The company had 250 000 shares of $1 par value common stock and 60 000 shares of $20 par value convertible preference shares outstanding during the year. The dividend rate on the preference was $3 per share. Each share of the convertible preferences shares can be converted into two shares of common shares

B.

Required:

Calculate for the firm:

i. the basic earnings per share for 2019. ii. the diluted EPS. for 2019.

Newport Ltd had an issued share capital