At December 31, 2019, Pinwheel Ltd. had 900,000 common shares outstanding. In addition, the corporation had 350,000 non-cumulative preferred shares outstanding, which were convertible into 600,000 common shares. During 2020, Pinwheel paid cash dividends of $ 360,000 to the common shares and $ 225,000 to the preferred shares. Net income for 2020 was $ 1,350,000 and the income tax rate was 40%. Diluted earnings per share for 2020 is

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The Answer of At December 31, 2019, Pinwheel Ltd. had 900,000 common shares outstanding. In addition, the corporation had 350,000 non-cumulative preferred shares outstanding, which were convertible into 600,000 common shares. During 2020, Pinwheel paid cash dividends of $ 360,000 to the common shares and $ 225,000 to the preferred shares. Net income for 2020 was $ 1,350,000 and the income tax rate was 40%. Diluted earnings per share for 2020 is