Garcia Stamping began the current year with 470,000 common shares outstanding and issued an additional 270,000 shares on
September 1. The firm has $11,200,000, 2.5%convertible bonds on June 30 (i.e., $280,000 coupon interest annually), which are convertible into 335,000 shares of common stock. The firm issued the bonds at par and did not convert any during the current year. It also had $4,200,000.
Requirement
Based on this information, compute basic and diluted earnings per share for the current year.
Calculate the basic earnings per share (EPS) for the current year. (Round the EPS to the nearest cent, $X.XX.)