Information from the financial statements of Ames Fabricators, Inc., included the following December 31 2018 100,000 2017 100,000 Common shares Convertible preferred shares (convertible into 62,000 shares of common) 30,000 30,000 10% convertible bonds (convertible into 30,000 shares of common) $1,000,000 $1,000,000 Ames's net income for the year ended December 31, 2018, is $800,000. The income tax rate is 40%. Ames paid dividends of $5 per share on its preferred stock during 2018 Required Compute basic and diluted earnings per share for the year ended December 31, 2018. (Enter your answers in thousands.) Answer is complete but not entirely correct. Earnings per Share Numerator Denominator Basic EPS Diluted EPS 650,000 x 100,000 S 6.50 860,000 192,000 S 4.48