Problem $20-23($PHILCPA Adapted$)$

Dynasty Company reported the following transactions during the current year.

January $1,100,000$ ordinary shares outstanding

February $1$ Sold $21,000$ ordinary shares in the market

April $1$ Purchased $5,000$ ordinary shares to be held in treasury

July $1$ Sold $35,000$ ordinary shares in the market

July $1$ Issued P$1,000,000,5-$year, $10\%$ bonds at face amount. Each P$1,000$ bond is convertible into $50$ ordinary shares.

October $1$ A $10\%$ bonus issue was declared and distributed.

December$31$ Net income for the current year was P$2,926,000.$ The income tax rate is $25\%$

What amount should be reported as basic earnings per share?

a$.20\mathrm{.}00$

b$.,19\mathrm{.}45$

c$.,19\mathrm{.}95$

d$.19\mathrm{.}38$

Which amount should be reported as diluted earnings per share?

a$.17\mathrm{.}05$

b$.,17\mathrm{.}29$

c$.,17\mathrm{.}12$

d$.17\mathrm{.}24$