The following data is presented by Mitchell Corp. for calendar 2020

Net income $ 5,400,000

Common shares outstanding, 1,750,000 shares

6%, cumulative preferred shares, convertible into 112,500 common shares $ 1,500,000

8% convertible bonds; convertible into 91,000 common shares $ 6,500,000

300,000 call options exercisable at $ 30 per share

Additional information

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

2.No dividends were declared in 2020.

3.The average market price of the common shares in 2020 was $ 37.5. The stock price was $ 50 on January 1, 2020, and $ 29 on December 31, 2020.

4.The convertible bonds were sold at par.

5.The income tax rate for 2020 is 21%.

Instructions

Determine fully diluted EPS - show all calculations.