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Guana Corporation has the following information available concerning its capital structure at January 1, 20X1 GUANA CORPORATION CAPITAL STRUCTURE AT JANUARY 1, 20X1 10% Bonds

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Guana Corporation has the following information available concerning its capital structure at January 1, 20X1 GUANA CORPORATION CAPITAL STRUCTURE AT JANUARY 1, 20X1 10% Bonds Payable, nonconvertible Preferred Stock, $30 par value, 5% cumulative and nonparticipating, no dividends in arrears, each share convertible into 2 shares of common stock Common Stock, S2 par value Paid In Capital in Excess of Par, Preferred Stock Paid In Capital in Excess of Par, Common Stock Treasury Stock, Common, 10,000 shares at cost Retained Earnings 600,000 300,000 400,000 20,000 800,000 100,000) 3,500,000 The following attached information is available for the year ending December 31, 20X1 REQUIRED: Compute basic and diluted earnings per share for the year ending December 31, 20XI, in accordance with generally accepted accounting principles. Show al supporting computations and round all EPS amounts to the nearest cent. GUANA CORPORATION ADDITIONAL INFORMATION RELATING TO CAPITAL TRANSACTIONS FOR YEAR ENDING DECEMBER 31, 20X1 (1)5,000 shares of the treasury stock were sold for $12 per share on June 1 (2)Existing shareholders have stock warrants outstanding that allow them to purchase 50,000 shares of common stock at $15 per share (3) | On April 1, the company issued 8% long term bonds payable which are convertible into common stock. The bonds were issued at par for $1,000,000. The terms of the bond indenture state that each $1,000 bond is convertible into 25 shares of common stock. None of the bonds were converted during the year (4)The company had the following summarized amounts from its income statement: income from continuing operations (before income taxes), S600,000; loss from discontinued operations (net of income taxes), $120,000; extraordinary gain (net of income taxes), $20,000 (5) The average price of the common stock during the year was $13 per share. The company's average tax rate during the year was 30%

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