Information from the financial statements of Henderson-Niles Industries included the following at December 31, 2018:

Common shares outstanding throughout the year 100 million

Convertible preferred shares (convertible into 40 million shares of common) 65 million

Convertible 10% bonds (convertible into 13.5 million shares of common) $ 1,000 million

Henderson-Niless net income for the year ended December 31, 2018, is $600 million. The income tax rate is 40%. Henderson-Niles paid dividends of $2 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 millions (i.e., 10,000,000 should be entered as 10).)

numerator / denominator =earnings per share

basic:

diluted: