Bacardi Inc, had 500,000 shares of common stock and shares of 6% cumulative preferred stock outstanding to the entire year . The non -convertible preferred stock has a par value of $ 100 per share. Bacardi declare or pay any dividends during the year. Bacardi's net income for the year was $ 2.5 million and the income tax rate is 40% . Bacardi granted 10,000 stock options to its executives on January of this year . Each option gives its holder the right to buy 20 shares of common stock an exercise price of $29 per share . The market price of the common stock averaged $30 per share during the year and the stock price at the end of the year was $32 per share. 10.Basic earnings per share reported by Bacardi Inc. for the year is closest to: A) $5.00 $ 4.40C ) $4.34 D $4.24 Diluted earnings per share reported by Bacardi Inc. for the year is closest to A) $5.00 B) $4.40 C) $ 4.34 - D ) $ 4.24

90 Use the following to answer questions 10 and 11: Bacardi Inc. had 500,000 shares of common stock and 50,000 shares of 6% cumulative preferred stock outstanding for the entire year. The non-convertible preferred stock has a par value of $100 per share. Bacardi did not declare or pay any dividends during the year. Bacardi's net income for the year was $2.5 million and the income tax rate is 40%. Bacardi granted 10,000 stock options to its executives on January 1 of this year. Each option gives its holder the right to buy 20 shares of common stock at an exercise price of $29 per share. The market price of the common stock averaged $30 per share during the year and the stock price at the end of the year was $32 per share. .nottoogro srbi al legislni qufenames lenothogong s nisthisM 10. Basic earnings per share reported by Bacardi Inc. for the year is closest to: A) $5.00 - B) $4.40 cecilto his hive whanoinogong atiturgent or bad nistqs) fins $4.34 nommoo to egunna D 13 3 $4.24 of vinvast ne bexiangno saw dollarogio) nagtoM mizigs" 00.01 i(D)setups 'arablodomade of gnimelon anobiosensu griwollot Diluted earnings per share reported by Bacardi Inc. for the year is closest to: A) $5.00 B) $4.40 isblodewile fetoT .cunda 19q 018 is doola ywegot to guide $4.34 - C (A $4.24 000.0902 000.0252 000,0058