Cullumber Corporation issued $5 million of 10-year, 8% callable convertible subordinated debentures on January 2, 2023. The debentures have a face value of $1,000, with interest payable annually. The current conversion ratio is 13:1, and in two years it will increase to 16:1. At the date of issue, the bonds were sold at 100 to yield a 8% effective interest rate. The bond discount is amortized using the effective interest method. Cullumbers effective tax rate was 35%. Net income in 2023 was $7.7 million, and the company had 2 million shares outstanding during the entire year. For simplicity, ignore the requirement to record the debentures debt and equity components separately.

(a)

Calculate basic earnings per share. (Round answers to 2 decimal places, e.g. 15.25.)

Basic earnings per share		$enter a dollar amount

(b)

Calculate diluted earnings per share for the year ended December 31, 2023. (Round answers to 2 decimal places, e.g. 15.25.)

Diluted earnings per share