At the end of the year, the records of Wolverine Corporation reflected the following.

Common stock, $10 par; authorized 180,000 shares: issued and outstanding throughout the year, 90,000 shares $900,000

Preferred stock, $50 par, 7%, cumulative, convertible into common stock, share for share; authorized, 18,000 shares; issued and outstanding throughout year, 3,600 shares 180,000

Contributed capital in excess of par, common stock 144,000

Retained earnings (no dividends declared during the year) 846,000

Bonds payable, 10% nonconvertible, issued at par four years prior 270,000

Net income 240,000 Stock options outstanding (all year for 18,000 shares of common stock at $15 per share)

Income tax rate, 25%

Average market price of the common stock during the year, $25 per share

Compute basic and diluted EPS.