In 2016, Pronghorn Enterprises issued, at par, 60 $1,000, 8%bonds, each convertible into 100 shares of common stock. Pronghornhad revenues of $18,200 and expenses other than interest and taxesof $8,400 for 2017. (Assume that the tax rate is 40%.) Throughout2017, 2,000 shares of common stock were outstanding; none of thebonds was converted or redeemed. (a) Compute diluted earnings pershare for 2017. (Round answer to 2 decimal places, e.g. $2.55.)Earnings per share $ (b) Assume the same facts as those assumed forpart (a), except that the 60 bonds were issued on September 1, 2017(rather than in 2016), and none have been converted or redeemed.Compute diluted earnings per share for 2017. (Round answer to 2decimal places, e.g. $2.55.) Earnings per share $ (c) Assume thesame facts as assumed for part (a), except that 20 of the 60 bondswere actually converted on July 1, 2017. Compute diluted earningsper share for 2017. (Round answer to 2 decimal places, e.g. $2.55.)Earnings per share $
