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PART II . Short Answer Problems ( 1 0 points total ) - Answer in the space provided. Show your work to receive credit; answers
PART II Short Answer Problems points total Answer in the space provided. Show your work to receive credit; answers with no supporting calculations will be given no credit. Clearly indicate your answer.
On January Worth Co issued at par $ of convertible bonds. Each $ bond is convertible into shares of common stock. No bonds were converted during Worth had shares of common stock outstanding during Worth's net income was $ and the income tax rate was Thus basic earnings per share is $
In computing Worth's diluted earnings per share for would you include the convertible bonds in the calculation? Meaning are the bonds dilutive? You must support your answer with the appropriate computation.
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