Subject: Global Financial Statement Analysis

Information from the financial statements of Henderson-Niles Industries included the following at December 31, 2021:

Common shares outstanding throughout the year		100	million
Convertible preferred shares (convertible into 30 million shares of common)		70	million
Convertible 10% bonds (convertible into 20 million shares of common)	$	1,000	million

Henderson-Niles' net income for the year ended December 31, 2021, is $920 million. The income tax rate is 30%. Henderson-Niles paid dividends of $2 per share on its preferred stock during 2021.

Required:

1. Compute basic earnings per share _________
2. Compute diluted earnings per share ________