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Business, 19.03.2020 22:57 thicklooney

On 1/1 Y1, a firm has 1,000,000 common shares and 100,000 vested stock options outstanding. The net income for the year is $2,000,000. Each stock option has a fair value of $4 and an exercise price of $12. During the year the average price of the stock is $30. Based on this information the diluted EPS for Y1 is:

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