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  3. 7. (15 points) miller corporation issued 260.0, $1

7. (15 points) Miller Corporation issued 260.0, $1,000, 10% convertible bonds in 2019 at face...

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Accounting

7. (15 points) Miller Corporation issued 260.0, $1,000, 10% convertible bonds in 2019 at face value. Each bond is convertible into 100 shares of common stock. Millers net income for 2020 is $5,107,200 ($6,809,600 before tax). Considering all factors except convertible bonds, average common shares outstanding for 2020 are 2,626,000. Required a. Compute basic EPS. b. Compute diluted EPS. c. How do the answers to Parts a and b change if the bonds were issued on July 1, 2020? d. Ignoring Part c, how do the answers to Parts a and b change if one-half of the bonds were converted on July 1, 2020? Round earnings per share amounts to two decimal places.

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