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It's urgent. During 2020, The Whispering Shoppe, issued the following series of bonds: First issue: 380 $1,000,5% bonds, at par, each convertible into 10 common
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During 2020, The Whispering Shoppe, issued the following series of bonds: First issue: 380 $1,000,5% bonds, at par, each convertible into 10 common shares. Second issue: 500 $100,8% bonds, at par, each convertible into 5 common shares. For the year ended December 31, 2021, the company had net income of $564,000. Throughout 2021, 47,000 common shares were outstanding and none of the bonds were converted or redeemed. The company's tax rate was 25%. Calculate basic earnings per share for the year ended December 31, 2021. (For simplicity, ignore the requirement to record the debt and equity portions of the convertible bond separately). $ Basic earnings per share Calculate diluted earnings per share for the year ended December 31, 2021. (For simplicity, ignore the requirement to record the debt and equity portions of the convertible bond separately). (Round answers to 2 decimal places, e.g. 15.25.) Diluted earnings per share $Step by Step Solution
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