Indicate which of the following types of securities would be included in the calculation of "basic earnings per share," and which would be included in the calculation of "diluted earnings per share." Place a "B" before those which affect only basic EPS, a "D" before those which affect only diluted EPS, a "BD" before those which affect both basic and diluted EPS, and an "N" before those securities which do not affect EPS calculations. Assume that, where applicable, the securities are dilutive.

____ 1. Notes payable

____ 2. Executive stock options

____ 3. Convertible bonds

____ 4. Cumulative, nonconvertible preferred shares

____ 5. Warrants to purchase additional common shares

____ 6. Common shares

____ 7. Nonconvertible bonds

____ 8. Convertible preferred shares