Use the following to answer questions 5 and 6: In 2008, Lazare Corporation had 200,000 shares of common stock and 20,000 shares of 8%, $100 par convertible preferred stock outstanding. Net in were paid to both common and preferred shareholders. Lazare's effective tax rate is 40%. Each share of preferred stock is convertible into 5 shares of common. come for the y 5. What is Lazare's basic EPS? A) $6.13. B) $4.80. C) $3.20. D) $5.20 What is Lazare's diluted EPS? A) $4.13 B) $2.67 C) $3.20 D) $5.00 6