Question: Computing Basic and Diluted Earnings per Share During the year, Park Corporation had 50,000 shares of $10 par value common stock and 10,000 shares of

Computing Basic and Diluted Earnings per Share During the year, Park

Computing Basic and Diluted Earnings per Share During the year, Park Corporation had 50,000 shares of $10 par value common stock and 10,000 shares of 8%, $50 par value convertible preferred stock outstanding. Each share of preferred stock may be converted into three shares of common stock. Park Corporation's net income was $440,000. Required a. Compute the basic earnings per share. (Round answer to two decimal places.) $ b. Compute the diluted earnings per share. (Round answer to two decimal places.) $ x

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