I am trying to compute Diluted EPS under the "if-converted" method, which is part b. ignore part a.

I got the denominator right in the formula for dilutive EPS, but I don't know how to solve for the numerator value, can you give me some simple formula I can apply to solve for the numerator value in future EPS problems that involve the if-converted method?

OnlineO (#5 / 6 E21-60: Convertible bonds and convertible preferred stocks Jones Corporation's capital structure follows. December 31 Outstanding shares of stock: Common stock, outstanding shares . . . . . . .. . .. . . . ..... 110,000 Convertible preferred stock, outstanding shares. . . 10,000 8% Convertible bonds . . . . . - $1,000,000 During the year, the company declared and paid dividends of $3 per share on its preferred stock. The preferred shares are convertible into 20,000 shares of common stock. The 8% bonds are convertible into 30,000 shares of common stock. Net income for the year is $850,000. The income tax rate is 25%. Required a. Compute basic EPS. b. Compute diluted EPS. 850,010- 30,000 if - converted 110, 959 850, 900 K 10,0c0 + 59,060 - 0 Nameratan value + at back prefteres dividends+