Question
At December 31, 2021, the financial statements of Hollingsworth Industries included the following: Net income for 2021 $ 520 million Bonds payable, 8%, convertible into
At December 31, 2021, the financial statements of Hollingsworth Industries included the following: Net income for 2021 $ 520 million
Bonds payable, 8%, convertible into 40 million shares of common stock $ 250 million
Common stock:
Shares outstanding on January 1 400 million
Treasury shares purchased for cash on September 1 36 million Additional data: The bonds payable were issued at par in 2019. The tax rate for 2021 was 25%.
Required: Compute basic and diluted EPS for the year ended December 31, 2021. (Do not round intermediate calculations. Round "Earnings per share" answers to 2 decimal places. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)
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