Colson Corp. had $800 net income in 2021. The weighted average number of shares to compute Basic EPS is 205 shares. The tax rate is 20%.

There are 30 options to buy common stock at $40 a share outstanding. The market price of the common stock averaged $50 during 2021.

During 2021, there were 40 shares of cumulative convertible preferred stock outstanding. The preferred is $100 par, pays $3.50 per share annual dividend, and is convertible into three shares of common stock.

Colson issued $2,000 of 11.25% convertible bonds at face value during 2020. Each $1,000 bond is convertible into 30 shares of common stock.

REQUIRED: Fill in the blanks below. Round to the nearest penny, e.g., round $1.2453 to $1.25 for Basic EPS and Incremental EPS calculations.

Basic EPS is $ _________.

Assuming conversion of the option, what are the impacts on the numerator and denominator in

calculating Diluted EPS? Numerator impact: $________ ; Denominator impact: ___________ incremental shares.

Incremental EPS of the preferred stock is $ ________

Incremental EPS of the convertible bonds is $ ___________

Which security is anti-dilutive? _________

The order of entry in computing Diluted EPS is_______ , then ______