On December 31, 2021, Monty Co. had 220,000 common shares outstanding. The company also had outstanding a convertible bond with a face value of $ 94,500 that had been issued in 2015. The bond paid 6% interest per year and was convertible to 1,890 common shares. Monty Co. had net income for 2021 of $ 902,000 and was subject to a 30% income tax rate. (For simplicity, ignore the requirement to record the debt and equity portions of the convertible bond separately).

(a)

Calculate basic earnings per share. (Round answer to 2 decimal places, e.g. 15.25.)

Basic earnings per share

$ Enter your answer in accordance to the question statement

(b)

Calculate diluted earnings per share. (Round answer to 2 decimal places, e.g. 15.25.)

Diluted earnings per share