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Branch Manufacturing Corporation owns 80 percent of the common shares of Short Retail Stores. The companies balance sheets as of December 31, 20X4, were as follows:

	Branch Manufacturing Corporation				Short Retail Stores
Assets
Cash		$	50,000			$	30,000
Accounts Receivable			100,000				80,000
Inventory			260,000				120,000
Land			90,000				60,000
Buildings and Equipment			500,000				300,000
Less: Accumulated Depreciation			(220,000	)			(120,000	)
Investment in Short Retail Stores Stock			120,000
Total Assets		$	900,000			$	470,000
Liabilities and Equity
Accounts Payable		$	40,000			$	20,000
Bonds Payable			300,000				200,000
Preferred Stock ($10 par value)			200,000				100,000
Common Stock:
$10 par value			150,000
$5 par value							100,000
Retained Earnings			210,000				50,000
Total Liabilities and Equity		$	900,000			$	470,000

Short Retails 8 percent preferred stock is convertible into 12,000 shares of common stock, and its 10 percent bonds are convertible into 8,000 shares of common stock. Short reported net income of $49,200 for 20X4 and paid dividends of $30,000.

Branch Manufacturing has 11 percent preferred stock and 12 percent bonds outstanding, neither of which is convertible. Branch reported after-tax income, excluding investment income from Short, of $100,000 in 20X4 and paid dividends of $60,000. The companies file separate tax returns and are subject to a 40 percent income tax..

Required:

Compute basic and diluted EPS for the consolidated entity. (Do not round intermediate calculations. Round your answers to 2 decimal places.)

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