Part II1. (30 points) Basie EPS and Diluted EPS Assume that the following data relative to Lane Company for Net Income 2015 is available: $1,100,000 Jan. 1, 2015, Beginning number of common shares 500,000 On April 1, the corporation purchased on the market 60,000 of its own outstanding shares. On July 1, the corporation declared and issued a 2-for-1 stock split. On October 1, the corporation issued 110,000 new shares to raise additional capital. On December 1, the corporation issued 10% stock dividends. The following dilutive securities were issued prior to 2015. Sold at par, convertible into 50,000 shares of common stock (split-adjusted) Exercisable at the option price of $20 per share. 1.000,000 30,000 shares Average market price in 2015, $30 4%Convertible Bonds Sold at par. Each $1,000 bond is convertible into 40 shares of common stock (split-adjusted). Tax rate is 40% in year 2015. 1. (7 points) Compute the weighted average shares outstanding during the year 2015 $1,000,000 (3 points) Compute the basic earnings per share for 2015. (Round to the nearest penny.) 2. (20 points) Compute the diluted earnings per share for 2015. (Round to the nearest penny) You have to show the proper intermediate steps to get full credit. 3