During all of 2015, the Ellis Corporation had 380,000 shares of $25 par value common stock outstanding. On Jan 1 2015, 2

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During all of 2015, the Ellis Corporation had 380,000 shares of$25 par value common stock outstanding. On Jan 1 2015, 2,000,8% percent bonds were issued with a face value of $1,000 each. Toenhance the bond sale, the company offered a conversion of 50shares of common stock for each bond at the option of thepurchaser. Net income for 2015 was $564,000. Which was afterthe decreasing loss from discontinued operations of $73,500 (net oftax benefit) The income tax rate was 30 percent.
CALCULATE:
a) Calculate Basic EPS
b) Calculate the effect of the assumed conversion of the bondson the net income and on the weighted average sharesoutstanding.
c) Calculate diluted EPS
d) Show the required financial statement presentation for BasicEPS and Diluted EPS