During 2013, M Co. had the following two classes of stock issued and outstanding for the entire year:

• 400,000 shares of common stock, $1 par.
• 2,000 shares of 4% preferred stock, $100 par, convertible share-for-share into common stock.

M's 2013 net income was $1,800,000, and its income tax rate for the year was 30%. In the computation of diluted earnings per share for 2013, the amount to be used in the numerator is----?

Answer rating: 100% (QA)

As while computing Dilutice earning per Share we assume per share we assume ... View the full answer