AI marks) D | K M N 2 B F G H 4. The following information is taken from the financial records of Leonard, Inc., for the 2021 fiscal year 5 6 Leonard Inc.'s common shares are no-par value, and 750,000 common shares were outstanding for the entire fiscal year. 7 8 Leonard Inc.'s preferred shares are also no-par-value, $0.80 cumulative dividends, and 400,000 shares were outstanding for the entire fiscal year. The preferred 9 shares can be converted into common shares at a rate of 10 preferred shares to one common share. No preferred conversions took place during the fiscal year. 10 11 Options were issued at the start of the fiscal year enabling the purchase of 62,500 common shares at $25 per share. The average market price of Leonard Inc.'s's 12 common shares during the fiscal year ended June 30, 2020 was $50 per share. The options expire in 2040, and none were actually exercised during the current 13 fiscal year. (Hint: Still need to calculate as part of diluted EPS) 14 15 Leonard Inc.'s also had outstanding for the entire fiscal year a 7% bond with a face value of $4,000,000, convertible to 60,000 common shares. 16 17 The income tax rate for the fiscal year was 25%. 18 19. Leonard Inc.'s Inc.'s net income for the fiscal year was $5,945,000, and no dividends were declared or paid during the fiscal year ended June 30, 2020. 20 REQUIRED: a) Calculate basic earnings per share for the year b) Calculate diluted earnings per share for the year Q1 - Taxes Q2 - Pensions Q3 - Leases Q4 - Cash Flow Q5 - CFI (Bonds) Q6 - EPS II. + Ready A + 8404 A1 . fi Question 6 of 6 ( 8 marks) D E F G H K L M N B REQUIRED: a) Calculate basic earnings per share for the year b) Calculate diluted earnings per share for the year Earnings Available to Common Shareholders Weighted-Average Number of Shares EPS 21 22 23 24 25 a) Basic EPS: 26 27 28 29 30 31 32 b) Diluted EPS: 33 34 Q1 - Taxes Q2 - Pensions Q3 - Leases Q4 - Cash Flow Q5 - CFI (Bonds) Q6 - EPS + II. FIA