Computing Basic and Diluted Earnings per Share Soliman Corporation began the year with 50,000 shares of common stock and 15,000 shares of convertible preferred stock outstanding. On May 1, an additional 18,000 shares of common stock were issued. On July 1, 12,000 shares of common stock were acquired for the treasury. On September 1, the 12,000 treasury shares of common stock were reissued. The preferred stock has a $4 per-share dividend rate, and each share may be converted into two shares of common stock. Soliman Corporations net income is $540,000 for the year. Required a. Compute earnings per share for the year. b. Compute diluted earnings per share for the year. Round your answer to two decimal places