Press F11 to exit full screen 1 Punch Manufacturing Corporation owns 80 percent of the common shares of Short Retail Stores. The companies' balance sheets as of December 31, 20X4, were as follows: 20 points Punch Manufacturing Corporation Short Retail Stores $ 53,000 108,000 260,000 115,000 490,000 (250,000) 132,000 $ 908,000 $ 33,000 88,000 140,000 85,000 310,000 (135,000) $ 521,000 Assets Cash Accounts Receivable Inventory Land Buildings and Equipment Less: Accumulated Depreciation Investment in Short Retail Stores Total Assets Liabilities and Equity Accounts Payable Bonds Payable Preferred Stock ($10 par value) Common Stock: $10 par value $5 par value Retained Earnings Total Liabilities and Equity $ 78,000 280,000 200,000 $ 76,000 200,000 80,000 150,000 200,000 $ 908,000 100,000 65,000 $ 521,000 Short Retail's 8 percent preferred stock is convertible into 13,000 shares of common stock, and its 10 percent bonds are convertible into 8,000 shares of common stock. Short reported net income of $49,000 for 20x4 and paid dividends of $30,200. Punch Manufacturing has 11 percent preferred stock and 12 percent bonds outstanding, neither of which is convertible. Punch reported after-tax income, excluding investment income from Short, of $125,000 in 20X4 and paid dividends of $60,000. The companies file separate tax returns and are subject to a 40 percent income tax. Required: Compute basic and diluted EPS for the consolidated entity. (Round your intermediate calculations and final answers to two decimal places.) Answer is complete but not entirely correct. 9.25 X Basic earnings per share Diluted earnings per share $ 11.47 X