During Year 5, Toby Corp, had 200,000 common shares

outstanding for the full year, Market prices of the common

shares during Year 5 were:

January 1: $55; Year's average: $60; December 31: $62.

Toby's income tax rate is 40%.

During Year 5, there were:

1. 30,000 outstanding stock options to buy common shares at $40 a share.

2. $2,000,000 of 8% convertible bonds issued at par. Each $1,000 bond is convertible into 20 common shares.

3. 20,000 preferred shares each paying a $7 dividend and each convertible to 3 common shares.

The corporation reported $750,000 net income for Year 5

Calculate basic and diluted earnings per share for Year 5.