Earnings Per Share Calculation: A publicly traded company reported a net income of $2,000,000 after deducting preferred dividends of $100,000. The company has 500,000 common shares outstanding throughout the year, but during the year, it issued an additional 100,000 shares. Calculate the basic earnings per share (EPS) for the company, considering both the weighted average shares outstanding and the diluted EPS if the company's stock options are exercised.