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Company A has Net Income of $200,000. It has $10,000 of non-convertible preferred stock that pays a dividend of 5%. It has $100,000 of convertible
Company A has Net Income of $200,000. It has $10,000 of non-convertible preferred stock that pays a dividend of 5%. It has $100,000 of convertible bonds that pay interest of 4%. The bonds convert into 1,000 common shares. the company has 10,000 common shares outstanding. The tax rate is 20%. Calculate the basic and diluted EPS.
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