ACC 304 EPS In-Class Problem 2 On January 1, 2017, Williams Industries had outstanding 440,000 common shares (par $1) that originally sold for $20 per share, and 4,000 shares of 10% cumulative preferred stock (par $100), each convertible into 10 shares of common stock. On October 1, 2017, Williams issued an additional 16,000 shares of common stock at $33. At December 31, 2017, there were common stock options outstanding, issued in 2012 and exercisable for 20,000 shares of common stock at an exercise price of $30. The market price of the common stock at year-end was $48. During the year, the price of the common stock had averaged $40. Net income was $650,000 and the tax rate for the year was 40%. Required: Compute Basic and Diluted EPS for the year ended December 31, 2017. ar