Question: PART II . Short Answer Problems ( 1 0 points total ) - Answer in the space provided. Show your work to receive credit; answers

 PART II. Short Answer Problems (10 points total)- Answer in the

PART II. Short Answer Problems (10 points total)- Answer in the space provided. Show your work to receive credit; answers with no supporting calculations will be given no credit. Clearly indicate your answer.
On January 2,2023, Worth Co. issued at par $2,000,000 of 7% convertible bonds. Each $1,000 bond is convertible into 10 shares of common stock. No bonds were converted during 2023. Worth had 200,000 shares of common stock outstanding during 2023. Worth's 2023 net income was $900,000 and the income tax rate was 30%. Thus basic earnings per share is $4.50.
In computing Worth's diluted earnings per share for 2023 would you include the convertible bonds in the calculation? Meaning are the bonds dilutive? You must support your answer with the appropriate computation.
space provided. Show your work to receive credit; answers with no supporting

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