Computing EPS: Convertible Debt Shaffer Corporation issued 160, $1,000, 10% convertible bonds in the prior year at face value. Each bond is convertible into 100 shares of common stock. The company's net income for the current year is $3,648,000 ($4,864,000 before tax). Excluding the convertible bonds, average common shares outstanding for the year were 1,616,000. Note: In the following calculations, enter the earnings per share amounts in dollars and cents, rounded to the nearest penny. a. Compute basic EPS. b. Compute diluted EPS. Net Income Available to Weighted Avg. Common Common Stockholders Basic EPS Diluted EPS $ $ Per Shares Outstanding Share 0 0 0 $ 0 0 $ 0 c. How do the answers to parts a and b change if the bonds were issued on July 1? Net Income Available to Weighted Avg. Common Basic EPS $ Diluted EPS $ Common Stockholders Shares Outstanding Per Share 0 0 0 $ 0 $ 0 0 d. Ignoring part c, how do the answers to parts a and b change if one-half of the bonds were converted on July 1? Hint: First adjust net income to reflect six instead of twelve months of after-tax interest expense Net Income Available to Weighted Avg. Common Common Stockholders Per Shares Outstanding Share Basic EPS Diluted EPS $ $ 0 0 $ 0 0 $ 0 0