. Big Company owned 20,000 shares of Little Manufacturing that were purchased in a previous year for $500,000. On May I of the current year Big declared a property dividend of one share of Little for every ten shares of Big stock, to be distributed on June I. On May I there were 100,000 shares of Big stock outstanding. The market value of the Little stock was $30 per share on the date of declaration and $32 per share on the date of distribution. By how much is retained earnings reduced for the property dividend a. $300,000, b. $600,000. c. $0. d. $320,000. During the current year, West Corporation had 2 million shares of common stock outstanding. Two thousand, $1,000, 8% convertible bonds were issued at face amount at the beginning of the year, west reported income before tax of $3 million and net income of $1.8 million for the year. Each bond is convertible into ten shares of common stock. What is diluted EPS to the nearest penny? a. $0.94 b. $0.90 c. $0.95 d. $0.89