The following data are presented by Allium Ltd. for the calendar year 2020:

Net income $800,000

Common shares outstanding, 200,000 shares

6% convertible bonds; convertible into 21,000 common shares $1,500,000

Additional information:

1) The common shares and the convertible bonds were outstanding from the beginning of the year.

2) The convertible bonds were sold at par. (For simplicity, ignore the equity portion)

3) The income tax rate for 2020 is 30%.

Required:

2.4. Calculate basic EPS.

Basic EPS = $_____________

2.5 Calculate diluted EPS. Show your work.

Diluted EPS = $_____________