Computing Diluted EPS: Convertible Bonds and Convertible Preferred Stock Jones Corporation's capital structure follows. December 31 2020 Outstanding shares of stock Common stock, outstanding shares 66,000 Convertible preferred stock, outstanding shares 896 Convertible bonds $600.000 6.000 During 2020, Jones declared and paid dividends of $3.00 per share on its preferred stock. The preferred shares are convertible in 12,000 shares of common stock. The 3% bonds are convertible into 18,000 shares of common stock. Net income for 2020 is $425,000. Assume that the income tax rate is 25%. Required a. Compute basic EPS for 2020. b. Compute diluted EPS for 2020. Note: Round earnings per share amounts to two decimal places. Per Share Net Income Available to weighted Avg. Common Common Stockholders Shares Outstanding Basic EPS $ Diluted EPS $