Carlin Company has outstanding 100,000 shares of common stock and 10,000 shares of convertible preferred stock, convertible into five shares of common stock for each share of the preferred. Net income for the year is $100,000 Dividends paid during the year were $20,000 on the preferred and $30,000 on the common stock and 34% tax rate. Required: 1. Compute basic earnings per share. 2. Compute dilute earnings per share