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value convertible preferred stock issued outstanding. Each share of preferred stock can be converted into 15 shares of B's common stock. Hs net income for
value convertible preferred stock issued outstanding. Each share of preferred stock can be converted into 15 shares of B's common stock. Hs net income for 2014 was $9,600,000. During 2014 H paid $600,000 of preferred dividends. H's income tax rate is 25%. As of 12-31-14, H had $2,000,000 of 5%, 10-year convertible bonds outstanding. H issued the bonds at par during 2011. The bonds can be converted into 40,000 shares of H's common stock. As of 12-31-14, H had $10,000,000 of 10%, 15-year convertible bonds. H issued the bonds at par during 2004. The bonds can be converted into 200,000 shares of H's common stock. As of 12-31-14, H had $6,000,000 of 7%, 40-year convertible bonds. H issued the bonds at par during 1980. The bonds can be converted into 300,000 shares of H's common stock. . During the entire year ending 12-31-14, H had 480,000 outstanding and exercisable employee stock options that were granted to employees during 2013. Each option has an exercise price of $60 per share of H common stock. During 2014, the average market price of H's common stock was $90 per share. . During the entire year ending 12-31-14, H had 120,000 outstanding and exercisable employee stock options that were granted to employees during 2010. Each option has an exercise price of $100 per share of H common stock. What will H report as basic EPS for the year ended 12-31-14? ROUND TO NEAREST PENNY. What will H report as diluted EPS for the year ended 12-31-14? ROUND TO NEAREST PENNY
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