Reference no: EM133038247

Question - Hutchins Company had? 200,000 shares of common? stock, 50,000 shares of convertible preferred? stock, and? $2,000,000 of? 10% convertible bonds outstanding during the entire year. The preferred stock was convertible into? 40,000 shares of common stock.

During the current? year, Hutchins paid dividends of? $1.00 per share on the common stock and? $2.00 per share on the preferred stock. Each? $1,000 bond was convertible into 50 shares of common stock. The net income for the year was? $1,000,000, and the income tax rate was? 30%.

Determine the basic earnings per share for the current year?