Larry Robinson is the controller at Sports-Legends Ltd., a public company. He is currently preparing the calculation for basic and diluted earnings per share and the related disclosure for Sports-Legends Ltd.'s external financial statements. The following is selected financial Sports-Legends Lid.'s external financial statement: The following transactions have occurred at Sports-Legends Ltd: 1. Options were granted by the company in 2016 to purchase 100,000 shares at $15 per share. Although no options were exercised during 2018, the average price per common share during fiscal year 2018 was $20. 2. Each bond was issued at face value. The 7% convertible debenture will convert into common shares at 50 shares per $1,000 bond. It is exercisable after five years and was issued in January 2017. For this question/exam the above selected balance sheet information ignores (and you should also) any requirement to record the bonds' debt and equity components separately. 3. The $4.25 preferred shares were issued in 2016. 4. There are no preferred dividends in arrears, and preferred dividends were not declared in fiscal year 2018. Larry Robinson is the controller at Sports-Legends Ltd., a public company. He is currently preparing the calculation for basic and diluted earnings per share and the related disclosure for Sports-Legends Ltd.'s external financial statements. The following is selected financial Sports-Legends Lid.'s external financial statement: The following transactions have occurred at Sports-Legends Ltd: 1. Options were granted by the company in 2016 to purchase 100,000 shares at $15 per share. Although no options were exercised during 2018, the average price per common share during fiscal year 2018 was $20. 2. Each bond was issued at face value. The 7% convertible debenture will convert into common shares at 50 shares per $1,000 bond. It is exercisable after five years and was issued in January 2017. For this question/exam the above selected balance sheet information ignores (and you should also) any requirement to record the bonds' debt and equity components separately. 3. The $4.25 preferred shares were issued in 2016. 4. There are no preferred dividends in arrears, and preferred dividends were not declared in fiscal year 2018