Stock Corp had $1,130,000 net income in 2017. On January 1, 2017, there were 230,000 shares of common stock outstanding. On April 1, 36,000 shares were issued and on September 1, Stock bought 42,000 shares of treasury stock. There are 25,000 options to buy common stock at $32 a share outstanding. The market price of the common stock average $40 durning 2017. The tax rate is 36%.

During 2017, there were 30,000 shares of convertible preferred stock outstanding. The preferred stock is $100 par, pays $2.5 a year dividend, and is convertible into two shares of common stock.

Stock issued $3,000,000 of 7% convertible bonds at face value during 2016. Each $1,000 bond is convertible into 27 shares of common stock.

Compute diluted earnings per sharefor 2017. Complete the shedule below and show your calulations.

Security

Net income

Adjustment

Adjusted net income

Shares

Adjustment

Adjustedshares

EPS