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At December 31, 2016, the financial statements of Hollingsworth Industries included the following: Net income for 2016 $ 630 million Bonds payable, 10%, convertible into
At December 31, 2016, the financial statements of Hollingsworth Industries included the following: |
Net income for 2016 | $ | 630 | million |
Bonds payable, 10%, convertible into 51 million shares of common stock | $ | 200 | million |
Common stock: | |||
Shares outstanding on January 1 | 300 | million | |
Treasury shares purchased for cash on September 1 | 30 | million | |
Additional data: |
The bonds payable were issued at par in 2014. The tax rate for 2016 was 40%. |
Required: | |||||||||||||||||||||
Compute basic and diluted EPS for the year ended December 31, 2016. (Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)
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