Current Attempt in Progress

On January $1,2025,$ Sheridan Company issued $10-$year, $$1,920,000$ face value, $6\%$ bonds, at par. Each $$1,000$ bond is convertible into $14$ shares of Sheridan colsmon stock. Sheridan's net income in $2025$ was $$478,500,$ and its tax rate was $20\%.$ The company had $110,000$ shares of common stock outstanding throughout $2025.$ None of the bonds were converted in $2025.$

a$.$ Compute diluted earnings per share for $2025.($Round answer to $2$ decimal places, e$.$g$.2\mathrm{.}55.)$

Diluted earnings per share $

b$.$ Compute diluted earnings per share for $2025,$ assuming the same facts as above, except that $$1,100,000$ of $6\%$ convertible preferred stock was issued instead of the bonds. Each $$100$ preferred share is convertible into $5$ shares of Sheridan common stock. $($Round answer to $2$ decimal places, e$.$g$.2\mathrm{.}55.)$

Diluted earnings per share