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What is basic and diluted eps

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Question: Owl Co. has 200,000 common shares, 50,000 common stock options, and 20,000 shares of $100, 5% cumulative preferred stock, all of which were outstanding during 2020. The stock options exercise price is $20 and the average market price is $50 during 2020. Owl has net income of $500,000 and declared no dividends in 2020. What is basic and diluted EPS?

Reference no: EM132746689

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