PROBLEM II On January 1, 2010, Warren Corporation had 800,000 shares of common stock outstanding On March 1, the corporation issued 200,000 new shares to raise additional capital. On July 1, the corporation declared and issued a 3-for-1 stock split. On October 1, the corporation purchased on the market 300,000 of its own outstanding shares and retired them. 10,000 shares of 8% S100 par value, nos preferred stock were outstanding convertible into 40,000 shares of common). No dividends were declared or paid on either the preferred or common stock in 2010 Net income for 2010 was S4-700,000. Tax rate was 30%. convertible bonds, 9%. S 300,000 face amount , convertible into 25,000 common shares Also outstanding at January 1,2010 were incentive stockoptions granted to key executives on January 1, 2005. The options are exercisable as of January 1, 2009, for 40,000 common shares at an exercise price of S20 per share . During 2010, the average market price of the common shares was $50 per share. . . . Required: 1) Determine the Basic Earnings Per Share for 2010. 2) Determine the Diluted Earnings Per Share for 2010