ABC Company reported a net income of 45 million for the year ended 30th June 2023. The company had a weighted average of 60 million shares of common stock outstanding. In addition, the company has only one potentially dilutive security: a total number of 1 million convertible bonds with a face value of $100 each and a coupon rate of 5%. Each convertible bond can be converted into 15 common shares. Assume a tax rate of 30%. Calculate ABC's basic and diluted EPS.
A) Basic EPS: $0.75, Diluted EPS: $0.72
B) Basic EPS: $0.75, Diluted EPS: $0.70
C) Basic EPS: $0.70, Diluted EPS: $0.72
D) Basic EPS: $0.70, Diluted EPS: $0.70
