During 2016, Z reported net income of $4,350,000 and had 2,000,000 shares of common stock outstanding for the entire year. Z's 7%, $5,000,000 par value preferred stock is convertible into common stock at a conversion rate of 1.1 shares for every $10 of par value. Compute basic and diluted EPS.
其中，7%，5,000,000par value ，不太懂什么意思
