Question: Shady Corp. has 3 0 , 0 0 0 , 6 % bonds, convertible into 5 0 shares per bond. Each bond has a par

Shady Corp. has 30,000,6% bonds, convertible into 50 shares per bond. Each bond has a par value of $1,000. Trusty has 1,000,000 outstanding shares paying a $0.75 annual dividend. Earnings were $900,000 after paying $600,000 in taxes. Compute the diluted EPS.
Multiple Choice
$0.79
$1.08
$0.90
Shady Corp. has 30,000,6% bonds, convertible into 50 shares per bond.

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