At the beginning of 2019, Microbee Honey Corporation had 90,000 shares of $1 00 par value common stock issued and outstanding During 2019, the following common stock transactions have taken place Feb 1 Issued 40,000 shares at a price of $32 per share Apr 1 Declared and distributed a 10 stock dividend The market price on that date was $36 June 1 Repurchased 16,000 shares for the treasury at a price of $33 per share Aug 1 Reissued 5,000 shares from the treasury at a price of $45 per share Nov 30 Declared a 2 for 1 stock split The market price on that date was $56 For 2019, Microbee reported $575,000 of net income In addition, the company had the following securities outstanding 22,000 stock options issued on March 1, 2019 The stock options have an exercise price of $15, and none had been exercised as of December 31, 2019 5,000 shares of $100 par value, 12 cumulative convertible preferred stock Each share of preferred stock is convertible into 15 shares of common stock The shares were issued in 2015 $600,000 of 9 convertible bonds issued at par The bonds were issued in 2017 and as of December 31, 2019, none had been converted into common shares Each $1,000 bond is convertible into 32 shares of common stock All option exercise prices and conversion ratios have been adjusted for stock dividends and stock splits that occurred during the year Microbee has an effective tax rate of 36 and had an average stock price during 2019 of $37 adjusted for stock splits and dividends Required Round earnings per share to two decimal places 1 Calculate basic earnings per share for Microbee for 2019 $ fill in the blank 1 2 Calculate tentative DEPS and incremental DEPS for each dilutive security Diluted EPS with options $ fill in the blank 2 Incremental DEPS for convertible bonds $ fill in the blank 3 Incremental DEPS for preferred stock $ fill in the blank 4 Dilutive EPS with options and convertible preferred stock $ fill in the blank 5 Diluted EPS with options and convertible preferred stock and convertible bonds $ fill in the blank 6 3 What would Microbee report for basic and diluted earnings per share for 2019 Basic $fill in the blank 7 Diluted $fill in the blank 8

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At the beginning of 2019, Microbee Honey Corporation had 90,000 shares of $1.00 par value common stock issued and outstanding. During 2019, the following common

At the beginning of 2019, Microbee Honey Corporation had 90,000 shares of $1.00 par value common stock issued and outstanding. During 2019, the following common stock transactions have taken place:

Feb. 1	Issued 40,000 shares at a price of $32 per share.
Apr. 1	Declared and distributed a 10% stock dividend. The market price on that date was $36.
June 1	Repurchased 16,000 shares for the treasury at a price of $33 per share.
Aug. 1	Reissued 5,000 shares from the treasury at a price of $45 per share.
Nov. 30	Declared a 2-for-1 stock split. The market price on that date was $56.

For 2019, Microbee reported $575,000 of net income. In addition, the company had the following securities outstanding:

22,000 stock options issued on March 1, 2019. The stock options have an exercise price of $15, and none had been exercised as of December 31, 2019.
5,000 shares of $100 par value, 12% cumulative convertible preferred stock. Each share of preferred stock is convertible into 15 shares of common stock. The shares were issued in 2015.
$600,000 of 9% convertible bonds issued at par. The bonds were issued in 2017 and as of December 31, 2019, none had been converted into common shares. Each $1,000 bond is convertible into 32 shares of common stock.

All option exercise prices and conversion ratios have been adjusted for stock dividends and stock splits that occurred during the year.

Microbee has an effective tax rate of 36% and had an average stock price during 2019 of $37 adjusted for stock splits and dividends.

Required:

Round earnings per share to two decimal places.

1. Calculate basic earnings per share for Microbee for 2019. $ fill in the blank 1 2. Calculate tentative DEPS and incremental DEPS for each dilutive security. Diluted EPS with options $ fill in the blank 2 Incremental DEPS for convertible bonds $ fill in the blank 3 Incremental DEPS for preferred stock $ fill in the blank 4 Dilutive EPS with options and convertible preferred stock $ fill in the blank 5 Diluted EPS with options and convertible preferred stock and convertible bonds $ fill in the blank 6 3. What would Microbee report for basic and diluted earnings per share for 2019? Basic: $fill in the blank 7 Diluted: $fill in the blank 8