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please help 29 Lerner Co. had 200,000 shares of common stock, 20,000 shares of convertible preferred stock, and $600,000 of 10% convertible bonds outstanding during

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Lerner Co. had 200,000 shares of common stock, 20,000 shares of convertible preferred stock, and $600,000 of 10% convertible bonds outstanding during 2021. The preferred stock is convertible into 40,000 shares of common stock. During 2021, Lerner paid dividends of $.55 per share on the common stock and $1.80 per share on the preferred stock. Each $1,000 bond is convertible into 45 shares of common stock. The net income for 2021 was $380,000 and the income tax rate was 30%. Diluted earnings per share for 2021 is (rounded to the nearest penny) a $1.35. b. $1.39. c. $1.51. d. $1.58. On January 1, 2020, Huber Co. sold 12% bonds with a face value of $2,000,000. The bonds mature in five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for $2,154,500 to yield 10%. Using the effective-interest method of amortization, interest expense for 2020 is $200,000 b. $214,836. $215,400. d. $240,000. a . Answer: B

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