The following data relate to Montreal Ltd. for the calendar year 2020: Net income $3,250,000 1,200,000 Average number of common shares outstanding during 2020 8%, cumulative convertible preferred shares: convertible into 90,000 common shares 6% convertible bonds; convertible into 60,000 common shares $1,800,000 $2,000,000 105,000 call options, exercisable at $30 per share 460,000 put option exercisable at $25 per share Additional information 1. All the convertible securities and stock options were outstanding all year. 2. In 2020, total of $ 400,000 dividend was declared and distributed; however, no dividends were declared in 2019. 3. The average market price of the common shares in 2020 was $35. 4. The convertible bonds were sold at par