Computing Basic and Diluted Earnings per Share Zeller Corporation began the year with 168,000 shares of common stock and 22,000 shares of convertible preferred stock outstanding. On March 1 an additional 14,000 shares of common stock were issued. On August 1, another 22,000 shares of common stock were issued. On November 1, 8,400 shares of common stock were acquired for the treasury. The preferred stock has a $2 per-share dividend rate for the year, and each share may be converted into one share of common stock. Zeller Corporation's net income for the year is $701,000. Required a. Compute basic earnings per share for the year. Round to two decimal places. $ b. Compute diluted earnings per share for the year. Round to two decimal places. $